W45: Weekly Grape Update
Global
Fresh Cargo Peru reported that the start of the 2022/23 table grape campaign in the southern hemisphere at week 41, presents a 33.5% lower volume compared to the previous campaign (2021/22) and is also 13.5 % higher than that of the 2020/21 campaign. He explained that this decline is due to the fact that the supply from Peru and Brazil is lower than the previous harvest. Until week 41, there was a greater presence of Brazilian grapes in countries of the European Union, as well as in the United Kingdom. The Peruvian offer is more relevant in Latin American countries as well as in Asia and the Far East; being more balanced between Brazil and Peru in the shipment of grapes to the United States and Canada. According to Fresh Cargo Peru, the United States market reveals a local harvest projection that would be 1.5% higher than the previous season; which accounts for week 41, a decrease of 3.5% in dispatch for sale in the domestic market and an increase of 10.3% in inventory in California refrigerators.
On the other hand, the lower volume shipped to the domestic market also explains a spot price in week 41 higher than the previous season (7% in XL calibers of white seedless grapes; 3.9% in XL calibers of black seedless grapes; 5.9% in XL caliber of red seedless grapes and 4.4% higher in caliber L; while the increase reaches 9.1% in red grapes with seeds). The pressure for spot prices higher than last year, with higher prices at the retail or consumer level, is leading to a smaller displacement for local sales and increasing inventory forward, compared to imports from South America. However, experts consider that the first South American grapes are arriving, while in early November the arrival of grapes from northern Peru such as Crimson, Sweet Globe and Autumn Crisp is expected, which is key for decisions when monitoring the volume moved to market from California and its inventory, for planning shipments
Peru
Agro-exports maintain their upward pace. In the first eight months of the year (January-August), agricultural exports totaled USD 6,113 million, which represented an increase of 23.5% compared to what was registered in the same period of 2021, according to the Ministry of Agrarian Development and Irrigation. Non-traditional agricultural exports totaled USD 5,401 million, a figure 15.1% higher than that observed in 2021. The main products in the agro-export ranking in the analyzed period were: avocados USD 863 million (16.0% share), fresh grapes USD 589 million (10.9%), fresh cranberries USD 395 million (7.3%), fresh mangoes USD 207 million (3.8%), fresh or chilled asparagus USD 196 million (3.6%) and other citrus fruits USD 179 million (3.3%).
Italy
The production of Italia, Vittoria, and Pizzutello grape varieties was challenging in this season due to the high temperatures experienced. On the other hand, the seedless grapes were on demand since they can reach good prices: up to 4 euros per kg while the slightly marked standard is also at 0.50 euros.
Chile
Chile Wants to Show United States a Better Grape Season in 2023
"The Chilean grape crop is more dependent on the economy and the ability of growers to get the working capital to grow the fruit properly." This is how Nicolás Damm, from Río Blanco, expresses himself about the next grape harvest in Chile, a citrus campaign for the country. As he indicates, the country has the potential to get the same volume of grapes as last season, but ultimately it is a matter of money. "It depends on how bad the growers' results were last season and their ability to get the finance for their new crop," says Damm. "You have to put a lot of money into each hectare before you get any income, and last season was a disaster for a lot of growers." Last year in Chile, not only was the grape harvest delayed, but logistical factors were a headache for many producers and exporters. "So now the banks have imposed restrictions and the exporting companies are also reluctant to give advances to producers."
The recently created Chilean Grape Committee has just published its estimates for the harvest, which places around 68 million boxes; last season, 74 million boxes were produced. "We still believe that it is a somewhat high figure and, in my opinion, it will decrease a bit when we get closer to the campaign. Many growers are now learning the final results of last campaign and are facing the difficulties that the new season is presenting, Damm points out. On the other hand, the low European exchange rate and high costs could make Europe less attractive to Chilean growers and instead focus more on shipping fruit to the US market. Although it is early to make price estimates, Damm points out that this year they have tried to reach higher prices to absorb the increase in input costs. "However, even with a $2 increase in selling price, the revenue for the grower would be the same as two seasons ago, maybe worse. Freight costs and destination costs are really weighing on the bottom line for the grower."
53% Of Chilean Table Grape Exports Will Be of New Varieties in the 2022/23 Campaign
For 10 years, the Chilean table grape sector began to promote the planting of new varieties as a way to improve the competitiveness of this fruit in international markets, responding to market requirements and of consumers. This season is an important milestone to be fulfilled, for the first time more than 50% of the volume exported will be of new varieties. In practice, it will translate into 53%, according to the second estimate, delivered at the end of October by the Table Grape Committee of the Association of Fruit Exporters of Chile (Asoex), exceeding 49% of the 2021/22 season. For this new season, it is projected that of the new varieties to be exported, 48% will be red, 39% white and 13% black. The growth of the new varieties is given by the white varieties, which grow more than 5 million boxes, that is, a 55% growth, reaching more than 14 million boxes, while the new red varieties remain at almost 18 million boxes and the new black decreased by 7% to 4.6 million boxes.
Ignacio Caballero, coordinator of the Asoex Table Grape Committee, explained that, "in addition to the important growth in new varieties, a change in the composition of these varieties is projected, since two of the three largest new varieties decrease their volume such as "Timco" and "Allison", both red, fall between the two more than 700 thousand boxes, reaching 4.5 and 3.6 million respectively. While the white “Arra 15”, “Swett Globe”, “Timpson” and “Autumn Crisp” are the 4 varieties that contribute the most to the growth of the new ones, adding 4.3 million boxes, 92% of the total growth and projected to reach 3.6, 3.0, 2.4 and 2.1 million boxes respectively”. Likewise, Caballero indicated that other red varieties with the highest volume, such as the "Sweet Celebration" are projected to grow 2.6%, reaching 3.4 million boxes. In the case of the new black varieties, the professional highlighted the growth of the "Swett Favors" by 6.3%, reaching 1.3 million boxes, while the rest of the main ones are maintaining or decreasing, as is the case of " Sable Seedless” (-3%), “Sweet Saphire” (-9%), “Maylen” (-30%) and “Midnight Beauty” (-23%). In any case, the supply of new black varieties is quite attractive with more than 4.6 million boxes."
ASOEX Implementation of Phytosanitary Inspection Sites Advances in Northern Chile
A few days ago, the United States Department of Agriculture (USDA-APHIS) published in the Federal Register a proposed rule for the importation of Chilean table grapes under the Systems Approach. An alternative to fumigation with methyl bromide that was highly anticipated by the Chilean industry of this fruit. In order to advance the measures that are necessary to implement to comply with the Systems Approach protocol, the general manager of ASOEX, Miguel Canala-Echeverría, and the entity's development manager, Francisco Albornoz, held several meetings with the authorities from the Atacama and Coquimbo regions. The professional stated that the Systems Approach will benefit table grape growers in the northern regions of Chile, “Given that pests of interest to the United States have been controlled in Atacama and Coquimbo, they would be in a position to export table grapes under the Systems Approach as soon as the USDA-APHIS publishes the final standard, which, together with the Foundation for The Fruit Development, FDF, for some years now has been preparing producers and exporters, both in regard to the control and recognition of pests, as well as in the implementation of this system. All this, because we know that with this system our table grapes will have better competitiveness, condition and quality when they reach consumers' tables." Table grapes are the main fruit species exported by Chile, in terms of volume. According to figures from ASOEX Exportata, during the 2021/22 season, the country sent 609,662 tons of table grapes to the world. Of that amount, 83,978 tons came from the Atacama region, and 55,604 tons came from the Coquimbo region.
United States
The Harvest Season of Autumn Royal Grapes in California Will End in W47
The Autumn Royal grape season will end in California in W47. This variety of black seedless grapes is in high demand for export and domestic markets in the US. In 2022, the harvest was early due to the heat waves that struck Central California in the summer. Despite the end of this season, this variety still has a high price. On W45, the offering price for Styrofoam boxes of 19lb stood at USD 26.95 for US1 Grade, EXW Central CA.
South Africa
South African Grapes Exports Increase in Season 2021/22
South African table grape exports are forecasted to fall 8% to 350,000 tons due to a lower production forecast for the 2020/23 season. South African table grape exports for the 2021/22 season increased by 4% to an all-time high of 335,750 tons. But transport costs increasing, delayed shipments, containment measures, and inefficiencies at the port of Cape Town (through which exports 95% of table grapes) are putting pressure on the industry. Europe is the main export market for South Africa's table grapes, which is about 75% of total exports. Asia, the Middle East, and Africa markets also have strong growth potential, South African grape growers are paying attention to these markets as well.
India
Indian Early Grape Harvest Is Delayed After Heavy Rain
The early grape harvest, which usually arrives at the Mumbai market, has been delayed by the ongoing monsoon rains. Very small quantities of grapes are available as the early Indian crop has been affected and 30-40% of the crop has been damaged after the heavy rains. Traders in the market have informed local consumers that they will likely have to wait until December or January for the main harvest to be able to trade in sufficient quantities of grapes.
In W45, Indian grapes are in high demand in Malaysia and the Middle East as importers try to get the first shipments of the season and book profits for December. By the first week of December 2022, markets will have Namibian grapes in the Middle East and Southeast Asian markets. Importers expect to get the initial shipments of Indian grapes by W52.
Egypt
Fruit Prices in the Transit Market
Fruit prices in the transit market witnessed on Tuesday, November 8, 2022, a state of price stability for most types of fruit. The “Akhbar Al-Youm” portal publishes fruit prices, and 3-5 pounds are added to the price per kilo in retail where Red grapes ranged from 4 to 8 pounds and Crimson grapes from 11 to 16 pounds.
Prices of Vegetables and Fruits
The prices of vegetables and fruits continued to rise on Tuesday 8-11-2022 where grape leaves went for 60 pounds, red grapes 15 pounds and grapes 12 pounds.
Brazil
Mildew Prevention Control Reinforced in Brazilian Grapevines in W45
Downy mildew (Plasmopara viticola) is an aggressive fungal disease in Brazilian grapevines. In W45, after the rainy weather, the presence of water bunches of grapes and leaves provided an optimal condition for this fungus to develop. Producers have reinforced the monitoring of the areas, and the application of preventive fungicides to avoid the appearance of this disease in the area.
South Korea
14 Million Won Grapes Leaked to South Korea, What Is the Ruby Romance That Sparked a Stir in Japan?
Ruby Roman is a high-quality grape sold for 1.5 million yen (about 14.2 million won) at the first domestic auction in Japan in July, and is highly evaluated abroad. The fact that the grapes were being leaked overseas came to the attention of the person in charge of Ishikawa Prefecture when a TV report that the grapes were sold in Korea in August of last year was the trigger. In August of this year, Ishikawa prefecture conducted a field survey in Korea, purchased 'Ruby Roman' from a total of three stores, including department stores and high-end supermarkets in downtown Seoul, and asked a national research institute to evaluate the three. As a result of DNA analysis, the Ruby Roman purchased from Korea had the same genotype as the Ruby Roman in Ishikawa Prefecture. Japan judged that the seedlings appeared to have leaked at least five years ago, based on the growing season. Ishikawa Prefecture investigated the farmhouse's seedling management, but was unable to determine the exact route of the spill. Ruby Roman is quite large, weighing more than 20g, and has a sweet taste with a sugar content of 18 degrees or more. It is an independent brand developed by Ishikawa Prefecture over 14 years from 1995 and began to be exported overseas in 2012. The sales amount has steadily increased, reaching about 60 million yen (about 570 million won) in Hong Kong, Taiwan, and Singapore last year.
Moldova
The Production of Grapes Can Be Supported by a Donor Project
This year, due to limited demand from buyers in the EU countries, as well as in "non-traditional" sales markets, according to expert estimates, at least 25% of the "Moldova" table grape harvest will be sold to Moldovan wineries. This situation is repeated for the second year in a row, according to EastFruit . But if in 2021 the prices for "forced industrial" grapes were more or less acceptable for winegrowers (on average 4-5 lei / kg, $ 0.20-0.26 / kg), then this year the bulk of such products are for farmers, apparently, it will have to be sold at prices significantly below the cost (about 2 lei/kg, $0.10/kg). It is obvious that the problem requires an urgent solution. And it is unlikely that in the short term it will be the mass uprooting of "obsolete" seed varieties of table grapes and the laying of plantations of seedless grape varieties popular with consumers all over the world. The process of updating the assortment of commercial vineyards is underway, but so far slowly. Given the economic realities, it would be unreasonable optimism to say that investment in new vineyards will skyrocket. Perhaps a good anti-crisis alternative would be the processing of table grapes of table varieties that are losing popularity into juices, in particular, into freshly squeezed drinking must. The possibility of supporting such investment projects is currently being analyzed by the PCRR/USAID Rural Competitiveness and Resilience project team. As EastFruit previously reported, this project, recently launched in Moldova, is designed for five years. Its budget is almost $50 million, including a grant component of $13 million. PCRR/USAID support will be directed to the production of fruits, vegetables, honey and bee products, grapes and wine, as well as rural tourism related to the listed agribusiness sectors.
Table Grape of Moldova Having Interesting Experience for Ukraine
On November 2, the Federation of Agricultural Producers of Moldova (FARM), the European Bank for Reconstruction and Development (EBRD), and the Food and Agriculture Organization of the United Nations (FAO) organized the International Conference "Table Grapes of Ukraine 2022: Moldova's Experience" in Chisinau on November 2. The main question of the forum was, "Why does Ukraine remain a net importer of table grapes, while neighboring Moldova exports up to 80,000 tons of it per year?" As PCRR/USAID project expert Andria Botezatu explained, the mentioned 80,000 tons is the best indicator of the export of Moldovan grapes, achieved quite a long time ago in 2017. In the last few years, the country has exported a little less, or a little more than 60,000 tons of grapes. In this case, the main period of external deliveries is September-November. For the last two or three seasons, experts from non-governmental organizations of grape growers have been guiding farmers and traders to sell grapes soon after harvesting, when they are the freshest and most attractive to the consumer. Apparently, the recommendations are accepted by market operators.
In previous years, up to 60-65% of grape exports from Moldova went to CIS markets. Even in 2022, despite the fact that the Russian market has fallen out of the field of activities of Moldovan exporters, at the very beginning of the marketing season, the CIS accounted for about 46% of the supply of grapes (a significant share of them went to Kazakhstan). But the European Union now also accounts for about 38 % of export sales of Moldovan grapes. In general, during the period from September to October, Moldova exported almost 20,000 tons of grapes. According to Botezat, this is a good preliminary result for the current, generally very difficult season. According to statistical data, the total area of table grape plantations in Moldova is 17.9 thousand hectares, of which 5.1 thousand hectares are cultivated by agricultural enterprises, 12.8 thousand hectares by farms and households. More than 50% of vineyards are concentrated in five districts of the southern zone of the country. Although up to 150 varieties of grapes are officially registered or are in the process of being tested in wine-growing farms in Moldova, only five varieties account for a significant share in the structure of table wine-growing in the country: "Moldova "34%, "Cardinal " 15%, "Viorica "7%, "Kodryanka "5%, and "Muscat Hamburg "3%. They remain the basis of Moldova's grape exports.
In Ukraine, as Tetiana Shmaglyuchenko expressed, "sortal dissimilarity" prevails (apparently, as the "extreme form" of diversity). There are 56 varieties of table grapes in the state register, including seven of them entered in the last three years, which is probably a good thing, a move in the right direction. But the bad thing is that it is difficult for winegrowers to associate and jointly form large batches of grapes of homogeneous quality and varietal composition. Despite the fact that Ukraine produces a lot of grapes (236,000 tons in 2019, 103,000 tons in 2021), imports prevail in supermarkets. In Ukraine, the Odesa region has the largest area of grape plantations, 38.95 thousand hectares. This is almost half, 46% of the total area of the country. The main countries with developed viticulture are China and Japan. The largest producers of wine in Europe are Italy, France and Spain, on the American continent are the USA and Argentina. Italy, Turkey, Japan, the USA and Egypt produce the most table grapes in the world.
Poland
Fresh Fruit and Vegetable Sales in the Polish Wholesale Market in W44 at an Average Volume
Polish wholesale market sales noticed a normal sales volume in W44 with an upward trend only on Sunday. Italian grapes of all varieties seem to be the most demanded product, followed by Turkish lemons, and lastly, mandarins of South African origin. As of November 6, grape prices in the Bronisze Wholesale market were as follows:
- USD 12.90/8.2kg Grapes White, Italy origin
- USD 10.75/8.2kg Grapes Red Globe, Spain origin
- USD 0.86/kg Grapes Black, Moldova origin
Russia
The grape harvesting season has ended in the Stavropol Territory, more than 44 thousand tons of grapes have been harvested, which is more than the same period in 2021. This was announced on Sunday by the governor of the region Vladimir Vladimirov in his telegram channel. "Grape harvesting has been completed in the region. More than 44,000 tons of berries have been harvested, more than in recent years. The yield is 107.7 centners per hectare.” According to him, the age-old experience of viticulture, together with modern technologies, helps to achieve a new round of development of the industry in the region. "Today, 4.9 thousand hectares are allocated for grapes in the Stavropol Territory. Over the past 5 years, young orchards have appeared on 640 hectares. And this year we have doubled the area for seedlings up to 210 hectares. There are 2 nurseries in the region that can produce up to 1 million grape seedlings per year," Vladimirov added.
Bulgaria
Plums and Dessert Grapes Are Doomed
Plum and dessert grapes are doomed in the new program period if something does not change. "We are not satisfied with the support for plums and dessert grapes published in the Strategic Plan of Bulgaria. It is clearly written there that the rate will be 1/2 of the remaining fruits. Our wish was for them to be in a common group with the same rate", explains Turpanova
Georgia
Georgia Records Increase in Grape Imports in August 2022
In the grape sector, despite the fact that Georgia can successfully grow this crop itself, the market still remains somewhat dependent on imports. So, in August, its volumes doubled to 110 tons, most of which was supplied from Turkey.
Colombia
Grapes From Peru Arriving at the Colombian Market at USD 16 FOB
From the beginning of the Peruvian grapes season in November, grapes have been arriving on the Colombian market at an approximate price of USD 16 FOB. Both demand and prices are forecasted to increase in Q4 2022 due to the proximity of Christmas and New Year. However, no variation in price was recorded in W45.
Indonesia
Stable Demand of Fresh Grapes in Indonesia in W44
In W44, the demand for red globe grapes has been stable in the local market in Indonesia. Indonesia imports grapes from various supplying countries, but the largest supplier is China. Other supplying countries for black and green grape variants are the United States and Peru, but these are mostly sold in Jakarta. In W45, the CNF price of Peruvian grapes in the Jakarta market stood at USD 20 per 8.2kg box. Another important grape supplier for the Indonesian market is South Africa, but some importers mention there are no offers in W44 as the South African season starts in late November to early December.
