This season five vessels have already left Maputo port and by the end of May at least 100 containers of citrus will be exported to markets such as Hong Kong, Singapore, and Malaysia. It is expected the Maputo port will handle at least 2,000 containers until the end of September. This is a step in the right direction to take the necessary pressure off Durban port that is congested during the citrus season.

There has been more positive market trends after the Eid holidays with an increase in market sales. There is still a high demand for red apples and Lemons due to the limited availability on both commodities currently.

• Citrus
• Pome
• Grape, Stone & Kiwi Fruit
• India & Bangladesh
• PPECB Statistics

The packing of Navels is still limited and will start picking up in coming weeks. Total volumes shipped YTD to the Middle East is 94% down compared to the same period last season, however South Africa will compete with Egyptian valencias in the market selling at low price levels. The Egyptian valencias will be in the market up until the end of July but there is speculation that it could be in the market for longer.

By the end of week 18, there was a decrease of 38% lemons shipped to the Middle East compared to the same period last season. This is also contributed to the late start of lemon picking and packing due to the strikes in the Sundays River area. 

Although the packing of soft citrus volumes has picked up, total volumes shipped YTD to the Middle East are still down by -58%compared to the same period last season.

Market update

Spain is at the end of their citrus season and therefore limited volumes of Mandarins and Navels will be sent to the Middle East market.  South Africa will therefore not compete with Navels from Spain in the market and only with high volumes of good quality valencias from Egypt at low price levels.

The market is currently supplied with mandarins from Egypt, Spain (limited availability) and Morocco is also at the tail-end of their mandarin season and will only be in the market for another + 2 weeks.

There is still lemons in the market from Turkey, however the quality is not that good. There is a high demand for South African lemons due to the limited volume currently available from South Africa.

Update on Kiwi Fruit and a market update in the GCC countries

Although Kiwi fruit volumes to the Middle East are still down, shipments to the Middle East have increased as volumes are only -12% down compared to the end of last week at -31% on volumes shipped YTD.

India

Sales of all fruits are slowing down as inflation bites. SA shipped a record number of apples and pears to India last week. 300 containers of Apples and pears in one week. This will put pressure on pricing in 4 weeks’ time. Packhams are selling at an all-time low as it seems fruit from Russia is been diverted to India.

Bangladesh

Banks are now using BDT96 vs the USD to issue LC’s and also the central banks have informed all commercial banks that customers need to put down a 50% deposit for any LC establishment. This will hamper all sales to Bangladesh.

Royal Gala Apples are selling at breakeven while goldens are still selling at big losses. Shipping out of South Africa is still at excessively high prices and keeps increasing each month.