In W5 in the tomato landscape, some of the most relevant trends included
Agriculture Victoria, which provides research, support, and resources, recently detected the Tomato Brown Rugose Fruit Virus (ToBRFV) at a glasshouse tomato facility in Northern Victoria. As a result, the facility has been temporarily closed and placed under quarantine to prevent the spread of the highly contagious virus. Victoria's Deputy Chief Plant Health Officer emphasized that in line with the nationally agreed response plan, Agriculture Victoria is working closely with the affected business to eradicate the virus and ensure the facility’s safe return to operation.
Farmers in Northern Bangladesh protested on the Rajshahi-Dhaka Highway, demanding the removal of increased Value-Added Tax (VAT) and duty on tomatoes. Growers from Rajshahi, Natore, and Chapainawabganj districts blocked traffic for half an hour in response to the government's decision to raise VAT on processed pulp from 5% to 15%. This tax hike has led processing companies to halt tomato purchases, leaving farmers struggling to sell their produce. Farmers expressed concern over the situation, stating that tomatoes are now rotting in fields due to the lack of buyers.
Tomato farmers in Telangana, India, faced a severe crisis as prices have fallen drastically from USD 0.029 to 0.057 per kilogram (kg), significantly lower than the costs incurred in cultivating the crop. Despite spending two to three months on tomato cultivation, many farmers struggle to cover their labor wages. While retail prices ranged from USD 0.11 to 0.17/kg in W5, farmers only received a fraction of that amount. The situation is particularly dire in the Medak District, where around 2 thousand acres were dedicated to tomato farming. This price slump underscores the lack of proper guidance from the Horticulture Department and the insufficient support from the state government for the farming community.
Tomato prices in Nigeria have dropped significantly, providing relief to households as farmers report a bumper harvest in key growing states. A 50-kg basket of tomatoes dropped as low as USD 6.67 to USD 8.01 in W5, depending on the varieties. In Lagos, the price of a big basket has fallen to an average of USD 9.34, a sharp decline of approximately 90% from USD 100.09 in May-24. Meanwhile, a 25-kg plastic crate now costs around USD 4.34 in the northern region. The Chairman of the Tomato Growers and Processors Association of Nigeria attributed the price drop to the January-to-March harvest period, during which tomato plants yield abundant fruit.
In W5, Mexico's tomato prices declined by 2.25% week-on-week (WoW) to USD 0.82/kg, continuing a downward trend with a 65.55% month-on-month (MoM) and 68.58% year-on-year (YoY) decrease. This significant drop is due to increased domestic supply, particularly from major producing regions like Sinaloa and Baja California, where favorable weather conditions have led to higher yields. Additionally, reduced export demand, especially from the United States (US), has further pressured prices. Ongoing trade tensions between the US and Mexico, including potential tariffs under Trump's America First Trade Policy, could worsen this trend by decreasing exports to the US, thus increasing domestic supply and putting additional downward pressure on prices in Mexico. However, if these trade restrictions result in higher US tomato prices, alternative export markets or increased domestic demand could help stabilize or raise Mexican prices in the longer term.
In W5, Morocco's tomato prices declined by 13.89% WoW to USD 0.31/kg, down from USD 0.36/kg in W4. This decline reflects a 26.19% MoM drop from USD 0.42/kg in W2. The price reduction is primarily due to the decreased impact of the Tobamovirus (plant virus genus causing mosaic diseases in crops like tomatoes), which had previously caused significant losses in tomato production. Initial estimates suggest that production losses in these agricultural holdings have reached about 50% YoY so far.
Spain's tomato prices fell 13.68% WoW and 24.77% MoM to USD 0.82/kg in W5. The price trend reflects broader structural challenges in Spain’s tomato sector, which has seen an 18.83% production decline from 2014 to 2023, pressured by rising competition from Morocco and Türkiye, higher production costs, and strict environmental regulations. The ongoing production decline, and increasing competition, puts Spain’s position in the European market at risk. If these trends persist, Spanish tomato prices may remain volatile, with potential upward pressure due to reduced domestic supply. However, further expansion of Moroccan and Turkish tomato exports at lower prices could limit Spain's ability to sustain higher prices in the long term. Industry experts emphasize the need for investment in technology and sustainability to restore Spain’s competitiveness and prevent further market share loss.
In W5, Türkiye's tomato prices remained stable WoW but declined slightly by 0.79% MoM to USD 1.26/kg. Despite this minor decrease, prices remain elevated by 17.76% compared to the previous year. This sustained high pricing is primarily due to reduced domestic supply, as cold weather, heavy rainfall, and storms have significantly impacted greenhouse production in Antalya, the country’s primary tomato-producing region. These adverse weather conditions have led to decreased yield and elevated prices.
In W5, France's tomato prices remained stable WoW but declined by 15.72% MoM to USD 1.93/kg. Despite the MoM decline, greenhouse tomato production declined 9% YoY, reaching 436,236 metric tons (mt) in 2024. While outdoor production increased by 19% over the previous year, it has not fully offset the overall supply reduction. The decrease in greenhouse production is due to adverse weather conditions and reduced cultivation areas.
With adverse weather conditions affecting tomato production in countries like Türkiye and France, there is an urgent need for climate-resilient agricultural practices. This includes investing in weather-resistant tomato varieties such as Heatmaster, Florida 47, and Tasti-Lee, which are known for their ability to withstand high temperatures and stress conditions. Moreover, improving irrigation infrastructure and promoting greenhouse or protected cultivation techniques can help mitigate the impacts of extreme weather. Governments and private stakeholders can collaborate to provide training and resources for farmers to adopt these resilient practices, ensuring better yield consistency and reducing the risk of price spikes caused by supply shortages.
In countries like Bangladesh and India, where farmers experience significant losses due to low prices or market disruptions, there should be a concerted effort to establish direct-to-consumer or direct-to-retailer supply chains. Farmers can benefit from contracts offering guaranteed pricing or long-term agreements with wholesalers, which will reduce market uncertainty and provide more stable income. In regions experiencing price drops due to oversupply, such as Nigeria and Mexico, investments in local processing facilities and value-added products like tomato paste can help create a buffer against price volatility.
Given the detection of ToBRFV in Victoria, Australia, and the reduced impact of the Tobamovirus in Morocco, industry stakeholders should prioritize robust disease management strategies. This includes increasing investment in research for virus-resistant tomato varieties, enhancing early detection systems, and ensuring widespread access to pest and disease management resources for farmers. Furthermore, collaboration with international bodies to establish standardized response plans for managing viral outbreaks can help prevent widespread losses.
Sources: Tridge, Akhbarona, Business Day, Etemaaddaily, Horti Daily, Fresh Plaza