Operations at South African ports have come to a standstill after IT systems were hacked last week Thursday.  This has caused major disruptions and chaos as all ports are forced to close until this is sorted out. All ports might only become operational again in the next few days. Ships are bypassing South African ports as a result of port closures. This has resulted in a global shipping crisis and has further impacted all major shipping lines that have ongoing container/equipment shortages and therefore can’t afford further vessel delays.

Due to only 60,000 citizens and residents being allowed to perform Hajj and Umrah this year due to the Coronavirus, there wasn’t an increase in demand and sales as seen in previous years when Hajj and Umrah attracted millions of foreigners to the country. 

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

Citrus – South Africa

Valencia’s colour development was very good, due to the season start being delayed. Current Valencia varieties being packed include Midknight and Bennies. Most growers seem to be peaking on count 72/88. Currently, in the Eastern areas of South Africa, Cambria Late Navels seem to be peaking on smaller sizes (count 88/105).

The Northern areas are picking and packing Nadorcott. Sizes seem to be between count 1X-2.

The last Grapefruit is currently being packed in North-Eastern areas of South Africa and the season will end week 32.

Shipped YTD from South Africa

Lemons to the Middle East – a decrease of 16% on cumulative volumes shipped to date compared to the 2020 season.

Grapefruit to the Middle East – an increase of 10% on cumulative volumes shipped to date compared to the 2020 season. 

Soft Citrus to the Middle East – an increase of 56% on cumulative volumes shipped to date compared to the 2020 season.

Oranges to the Middle East – a decrease of 4% on cumulative volumes shipped to date compared to the 2020 season.

Market update: Valencia packing finished last week in Egypt.  However, there is still some volume in growers/suppliers cold stores in Egypt. All Egyptian volume should be out of the GCC countries by mid-late August.

Navels from South Africa are not performing well in the market as they are competing with the Egyptian valencias at low price levels.  In general, poor market conditions for both Navels and Novas. However, there has been an increase in the demand and price levels for Lemons from South Africa and this can be contributed to the limited availability. South Africa is prioritizing lemon shipments to Europe due to the high price levels from Europe.

Citrus – Spain: Spain is expecting a 25% increase in citrus this season compared to last season.

Mandarins – Peru: In Peru, it is estimated that in July, mandarin exports could reach over 62 000 metric tons and a growth of 31% in volume and 35% in value year-on-year.  Peru is currently in its late mandarin season and the season is expected to end in September/October. Late mandarin varieties include Murcott’s, Nadorcott’s, and Malvaceo.

Kiwi fruit

Kiwi fruit volumes shipped from Chile to the Middle East remain low at 24% less on cumulative volumes shipped to date compared to the 2020 season.

Continued high demand and high price levels for Kiwi fruit not only in the GCC countries but around the Globe. Chile is at the tail-end of its Kiwi season.  

Greece and Italy have experienced late frost and this will impact the new season’s overall volumes.

India

The market has seen an increase in the pricing and demand for SA oranges. Apple markets are still holding well. The Vermont market is doing well and Packham sales and prices have slowed down. SA supply of Vermont Pears has decreased as the season is coming to the end. SA ports are still heavily disrupted due to cyber-attack. The ports hope to be operational by week 31.

Bangladesh

The market in Bangladesh is starting to show changes for the better over the last week.

South African Gala prices are slowly on the up, however, Goldens have slumped somewhat due to the recent hard lockdown in Dhaka where this variety is mostly consumed.

Orange prices have also shown good improvement, however soft citrus still needs to pull itself out of the red.

Chinese Gala varieties are set to make arrival toward the end of August, whilst South African supply on all commodities has been severely throttled over recent weeks due to civil unrest and cyber-attacks on the Ports.