W35: Mandarin Update

In W35 in the mandarin landscape, the tangerine production in Argentina for the 2022/23 season is anticipated to decrease by 18%, resulting in a total output of 285 thousand metric tons (mt). This substantial drop in tangerine production represents a significant decline compared to the previous estimates provided by the United States Department of Agriculture (USDA). The reduction in tangerine production could be attributed to various factors, including adverse weather conditions, increasing production costs, economic challenges, or other agricultural factors affecting the citrus industry in Argentina. Moreover, Argentine tangerine exports are estimated to decrease to 30 thousand mt and this is also due to low production.

In 2023, Peruvian citrus exports have not been as successful as anticipated, with a 21% year-over-year (YoY) drop in volume and a 15% YoY in value in fresh mandarins. The average price of mandarins increased from USD 1.07 per kilogram (kg) in 2022 to USD 1.16/kg, an 8% YoY increase to offset the drop in volume. The Peruvian mandarin reached 31 destinations, with the United States (US), the United Kingdom (UK), and China being the top three.

Furthermore, 55.8 thousand tons of Peruvian mandarins were exported to the North American market for USD 67 million in 2023, a 43% YoY decrease in volume and 40% YoY in value. The average price in this market was USD 1.20/kg, a 6% YoY increase. In the UK, 13.9 thousand tons were exported for USD 14 million, 12% YoY higher in volume but 30% YoY higher in value due to a 16% YoY increase in the average price. China's position was further impacted, with 11.2 thousand tons of fresh Peruvian mandarins exported for USD 13 million, 127% YoY higher in volume and 159% YoY higher in value.

Lastly, despite a 30% increase in the volume of South African mandarins exported to China during the 2022/23 season, the prices for these mandarins have dropped. This suggests that there may be an oversupply of mandarins in the Chinese market, leading to lower prices due to increased competition. Factors such as changes in consumer demand, market dynamics, and the overall supply of mandarins can influence pricing trends in the fruit export industry.