New agreements with the Asian giant

This year has been named by the UN as the International Year of Fruits and Vegetables. Nelli Hajdu, SHAFFE Secretary General, reflected on an exceptional year in the fresh produce sector, with all the challenges, including logistical problems and the absence of face-to-face meetings at fairs.

Charif Christian Carvajal, from the Chilean Fruit Exporters Association (ASOEX), who was part of the start of the event, stated that SHAFFE intends to create member-centered initiatives to generate significant benefits and facilitate better market access among the different countries.

Meanwhile, the Fresh Fruit Producers Association also announced a new cooperation agreement with the Chinese fruit import sector. The fair witnessed the signing of a Memorandum of Understanding with the China Chamber of Commerce for Food, Indigenous Products and Animal By-products (CCCFNA). The Chinese market has become an important outlet for merchants in the southern hemisphere, as the market has grown by 90% in the last five years to reach 2.500 billion dollars.

Blueberries among China's favorites

Of all the fruit exported by the SHAFFE countries, grapes, kiwis, blueberries and apples account for 57% of exports. If the export volumes of the last 5 years are compared, cherries are the ones that have increased the most, with 110%, and blueberries occupy the second place, with 72%.

If we look at where that fruit is shipped, it is not surprising that China has seen the largest increase in imports in the past five years, with a 90% increase and a value of $ 2,5 million. Japan has seen an increase of 52% and the Netherlands of 28%. Hong Kong has seen its import quota decrease by 5%, which is likely due to shipments being made more directly to China.

Challenges and strengths

Climate is the main challenge, as some countries face a prolonged drought, while others have heavy rains. Not surprisingly, labor is also a major challenge and has an impact on crop performance. There has been an expansion in the market, but access to it can be slow. You also need to invest more in new varieties.

Obviously, COVID was the biggest challenge last year. The pandemic has had different effects in different countries, although all of them have continued to supply the markets.

Logistics and Politics: Opportunity or Challenge?

In many countries, the political situation and government policies have a great influence on production and markets. Tariff barriers in certain markets can also stunt growth and drive more products to countries with low tariffs.

Logistics is a constant challenge, with continuous restrictions on maritime transport. There are also opportunities to take advantage of individual strengths: organic products in Argentina, tropical fruits in Brazil, cherries in Chile, citrus fruits in Uruguay, soil and new varieties in the Andean zone of Peru, food security in Nueva Zealand, the agri-food plan in South Africa and the diversification of plantations and premium citrus in Australia.