W23: Tomato Update

In W23 in the tomato landscape, tomato prices in India doubled from USD 0.5/kg (INR 40/kg) to USD 0.98/kg (INR 80/kg) in two weeks due to low supply caused by rain. The president of the Tomato Traders Association at Azadpur market stated that prices will remain high until the arrival of the new crop. Demand for tomatoes from southern India has also contributed to the price surge. Currently, tomatoes are being sourced from certain areas in Haryana and Uttar Pradesh. Tomato prices in India are expected to remain high for at least two months. On the other hand, The Primorsky Interregional Department of Rosselkhoznadzor has stopped the import of tomatoes, sweet peppers, and hot peppers from the EAEU. Officials from Rosselkhoznadzor conducted tests on vegetable samples at the "Pogranichny" phytosanitary control post. The test results showed the presence of a quarantine pest from the EAEU in samples from batches of tomatoes, sweet peppers, and hot peppers, weighing 14.3 tons. Tomato prices in Russia have decreased continuously by 8.7% from May 30 to June 5, 2023. Also, New Zealand is expected to experience a shortage of tomatoes during the winter season.

In Subukia, Kenya, tomato farmers are currently facing the challenge of a pest that primarily damages the leaves of their crops. This pest, known as Tuta absoluta, poses a significant risk to the quality of the tomatoes and leads to potential losses. Since it arrived in the country around 2016, the pest has traditionally been controlled using chemical pesticides as the solution. In addition, MoFA's Bono Regional Director has urged Ghanian tomato growers to cultivate the "raja and cobra" varieties of tomatoes released by the Crop Research Institute. These varieties have high yields and excellent matter content, good for processing, and high export demand. According to the USDA, Mexico is expected to produce 3.87 million mt of fresh tomatoes in 2023, slightly higher than the Government of Mexico's official estimate of 3.8 million metric tons in 2022. Sinaloa is the leading tomato-producing state in Mexico, contributing 22% of the total production. Other significant tomato-producing states include San Luis Potosi, Michoacán, Zacatecas, and Jalisco. Mexican tomato exports to the United States will continue to be strong, supported by ample supplies and stable domestic consumption.

The energy crisis caused a long-term reduction in the production of vegetable crops using artificial lighting in Central and Northern Europe, as well as difficulties in the tomato segment due to the ToBRFV virus. Spain cut tomato production due to Morocco's competition, while Turkey focuses on exports to Russia. Spanish farmers have diversified their businesses, and almost all European countries experience a labor shortage. The end of the crisis will lead to the restart of production under artificial light. Further, the Food and Veterinary Agency in Kosovo is waiting for the results of laboratory tests on the imported tomatoes from Albania. These tests will determine whether the tomatoes contain high levels of hormones, and actions will be taken based on the test results. Germany increased its imports of tomatoes from Morocco by 73.16% in 2022 compared to 2018. However, imports from Spain decreased by 19.09% and from the Netherlands by 26.31%. According to Comtrade, Germany imported a total of 633.5 million kg of tomatoes, valued at USD 1.6 billion (EUR 1.5 billion), with an average price of USD 2.53/kg (EUR 2.31/kg). Further, the median prices of loose and vine tomatoes in Belgium increased in W22, ending the previous week's decline. Lastly, tomatoes grown using soilless agriculture and geothermal water in Krklareli, Turkey, are exported to European countries. An investor company has set up a greenhouse in the village of Asilbeyli with a yearly production capacity of 3.5 thousand tons and a weekly production ranging from 150 to 200 tons. Out of this, 50 tons are exported to European countries.