Summary of the global blueberry market

The global blueberry market presents a mixed picture this week, as some seasons are coming to an end, while others have not yet started. In the Netherlands, shortages are expected between weeks 22 and 25 due to the reduced supply of Moroccan and Spanish blueberries, which will also cause prices to rise. In Germany, blueberry supplies are expected to shrink as Spanish and Moroccan supplies decline, which could drive the transition to smaller pack formats. Polish growers are closely monitoring the impact of night frosts on their crop, which could have affected both volumes and fruit size. On a positive note, Serbia foresees a remarkable 15% increase in blueberry production for the coming season. On the other hand, the Spanish blueberry season is being characterized by lower production and higher prices, aggravated by the scarcity of water. In South Africa and Zimbabwe, early season blueberries are enjoying good market opportunities. North America has a strong supply of high-quality blueberries, while Peru maintains its dominance in the Chinese market.

Spain: Lower production and higher prices this campaign
The Spanish blueberry season has already passed its peak and the volumes have already started to decline. In general, production has been lower than last year, and prices higher.

Moroccan blueberry volumes have already dropped significantly as their season draws to a close, and this is leading to increased demand for the Spanish product from the Middle East and Southeast Asia, as well as other European countries. . Therefore, the prices of Spanish blueberries are rising, and their producers are taking advantage of a small window in the markets, since the blueberry seasons are still starting in Serbia, Poland or Portugal and the available volumes are not yet large.

On the other hand, the scarcity of water is generating a lot of concern among the producers of red fruits in Huelva, the largest producing region in Spain. The Government has cut 25% of the water supply for irrigation, since the reserves in the reservoirs are at drastically low levels, and this could affect production both this season and the next.

Chile: Blueberry exports will fall by 20%
Chile, which faces challenges in terms of varietal renewal, is reassessing its blueberry production and export strategies. The global market share of Chilean blueberries is being affected by the presence of new producing countries such as Peru, Mexico, Morocco and China. Chile plans to embark on new diversification strategies, as the amount of Chilean fresh blueberries exported is expected to fall by 20%, from 110.000 tons to 87.000 tons, in the 2022-2023 season.

Peru: Blueberry exports to the Chinese market continue to grow
Peru, the world leader in the production and export of blueberries, increased its production by 37,5% during the first quarter of 2023, mainly thanks to the expansion of cultivation areas. The country has also gained access to new export markets during the last season, which will allow these increased volumes to be distributed more evenly and prevent markets from becoming overloaded and prices falling. Peru is also the main supplier of the largest importer of this fruit on the planet: China. In 2022, the country supplied 35.890 tons of the 42.847 purchased by China, which represented an increase of 44,8% compared to imports from the Asian country in 2021, according to USDA data.

In the 2022/23 campaign, China absorbed 16% of exports during the blueberry campaign, with shipments valued at US$222 million, which represents a 29% increase in the value of sales compared to the previous campaign. The price reached US$5,92 per kilo, managing to exceed that of the 2021/2022 campaign by up to 18%, adds a market report from the Peruvian consultancy Fresh Fruit.

And it is that the growth of blueberries from Peru in the Chinese market has certainly been rapid. In 2018, shipments totaled only 5.657 tons, which represented 36,8% of the total exported. In 2019 shipments doubled and Peru overtook Chile in the list of largest suppliers of blueberries for the Chinese market, increasing its share to 54%. And in 2022, according to a recent USDA report, shipments tripled compared to 2019 and came to represent 83,7% of the total blueberry imports into China, where blueberry consumption is expected to continue to grow steadily in the next years.

"To expand its market share, blueberries from Peru reach the Chinese market earlier and earlier. The first batch of Peruvian blueberries of the 2022 season arrived on the shelves of the main high-end retail platforms in July. Due to the early arrival of Peruvian blueberries and the large-scale launch of domestic blueberries during the same period, the market share of Canadian blueberries has been reduced. In fact, "as of 2020, Canadian blueberries have barely had a market presence."

The Netherlands: a large shortage is expected in the market from week 22 to 25
Moroccan blueberry growers have had a very good and stable season in the Dutch market, where they have managed to get fantastic prices thanks to the delay of the Spanish harvest due to the cold front. Spanish blueberry production experienced a rebound after the season in the Huelva region was expected to kick off 10-14 days ago, although this was short-lived and the volume shipped from Morocco has been reduced. Spanish producers are aware that this is happening and, therefore, prices are also skyrocketing. From the point of view of the producers, there are good prices and good quality in a very stable market (slightly on the rise). “Morocco expects to load limited volumes for about another 2 weeks and then it will stop. Spain is expected to continue for at least another week and then it too will run out of stock. From week 22 to 25, there will be a big shortage in the market and the price will go up again,” says a Dutch trader.

Germany: Demand for strawberries remains stable, despite inflation
The availability of Moroccan and Spanish blueberries is decreasing mainly due to the high temperatures in Spain. Many Spanish producers are already facing the end of the season, while Morocco has also left behind the peak of the campaign in terms of volume. The first large quantities from Serbia and Romania are not expected until mid to late June, so a shortage of goods can be expected shortly. “Surely there will be merchandise, but it is likely that the 500 gram trays will be replaced by 300 gram trays in 1-2 weeks,” says a trader.

Domestically produced early tunnel crops are expected to hit the market in mid-June, but significant volumes will not be available on the market for a month later. Despite the cold and frost, this year's crop is expected to be moderate. In terms of sales, demand has remained stable so far, despite inflation. Inflation does not seem to be affecting both sales and production in a broader sense (cultivation, transformation, packaging and logistics).

France: Spanish organic blueberries, cheaper than usual
Currently, blueberries of Moroccan and Spanish origin are available on the French market. The Moroccan campaign started 4 months ago, and there have been some irregularities in terms of volumes, but generally acceptable quality and stable prices.

The Spanish organic campaign will end in 3 weeks. The quality has been very good, and the last month of trade has also been good in terms of prices (6-7 euros/kilo). In addition, some Rungis wholesalers have found it more interesting to work with Spanish organic production than with conventional one, since the former was cheaper than the latter.

The French blueberry season has not yet started, with the first harvest expected to arrive in July.

Poland: The effects of overnight frosts on the Polish blueberry season remain to be seen
In Poland, a promotional campaign has been launched to inform consumers about the benefits of blueberries. The market has recorded rapid growth in imports, which have outpaced production and exports. Imports of blueberries in Poland increased by 44% from 2020 to 2021, reaching 14.250 tons. A significant proportion of Polish households already buy blueberries throughout the year.

Despite this positive growth in the Polish market, there are still issues to deal with when it comes to the domestic season, as Poland has recently been experiencing overnight frosts. It is difficult to predict what kind of damage these frosts will cause. Sub-zero nighttime lows are quite normal in May in this part of Europe and many growers are simply monitoring the situation while using water sprayers or foggers in the fields. The layer of ice on the blueberry flowers that is generated by water sprinklers or artificial fog acts as a natural shield for the flowers, a protection against freezing. Growers prefer to wait until after mid-May or even the end of the month, when the night frosts come to an end, to assess their impact.

Fewer bush buds or a slight correction to blueberry volumes due to overnight frosts doesn't have to be bad news for growers. Quite the contrary. If the bush has fewer fruits to feed, then they may reach a larger size. The weather conditions will be a relevant factor for the cultivation of blueberries for a while, since the cycle of the seasons is no longer as reliable as before. There is no doubt that growers have not had it easy in recent years, as the winters are tending to be very mild, so nature wakes up too early, and then the cold temperatures return.

Serbia: a 15% increase in blueberry production is expected
Growers are already preparing for the next blueberry season, which will begin in early June with an estimated 15% increase in production, from the 6.500 tons of last season (2022) to the 7.500 tons expected for this season. next campaign. Serbia has not been affected by the spring frosts in early April and is expecting good sizes and quality as well as higher volumes, according to reports.

Italy: Low prices, despite good demand
Italy currently registers good demand, but blueberry prices are quite low. A trader in northern Italy says that blueberry consumption is now constant throughout the year, with a peak in summer. The quality at the moment is good, with Sicily, Spain and Morocco as the main origins. The problem lies in the prices. For the past 20 days, there have been falls of 30% due to the arrival of cheap products from Spain, which is dragging down the prices of other origins.

This year, the blueberry harvest in some areas of Sicily started a few weeks late, in mid-February, when it should have started in the first ten days of January and finished in June. Throughout the season, the situation has returned to normal without many problems. Overseas chilled products will take over from June, so the Sicilian production is not greatly affected by competition. Most Sicilian growers promote sustainable cultivation, using very few pesticides and generating virtually zero waste.

South Africa: Zimbabwe benefits from early blueberry season
The blueberry harvest has been underway in Zimbabwe since mid-February, and has just started in northern South Africa. In the next two or three weeks, all the growers in the north will already be harvesting. The first volumes will go to the local market, where prices are “very, very good” at this time of year. Volumes will increase over the next few months and the price will adjust accordingly.

In the Johannesburg municipal market, the average price of blueberries (sold in 125-gram tubs) currently stands at R236,31 (11,47 euros) per kilo, with a maximum of R280/kg (13,6 ,XNUMX euros).

The export season begins in August, when the northern hemisphere season ends.

South Africa's total production is estimated at 30.000 tons, of which 25.000 are for export.

In South Africa, blueberry expansion has stalled. Much of the planting that is currently carried out is aimed at replacing varieties. Zimbabwe is indeed seeing growth, with expansions and plans for new projects attracting interest from foreign investors from the UK, the US and the Middle East, as well as Zimbabwean farmers switching to blueberries.

“There is certainly a lot of interest in planting blueberries in Zimbabwe,” confirms the technical adviser to one of the large blueberry companies that own farms in the country. According to him, the area dedicated to the cultivation of blueberries in Zimbabwe is estimated at between 400 and 600 hectares, with the potential to reach 1.000, largely concentrated in the surroundings of Harare.

Zimbabwean blueberries are earlier in maturity than South African ones, giving them a lucrative early window on the South African market, from March to June, when large volumes are available.

According to one exporter, southern Africa, which also has blueberry plantations in Namibia and Zambia, collectively competes with Peru, and as long as the quality is high, the entire region benefits.

North America: Blueberries of great quality and size
There is a remarkable supply of blueberries in North America. “Georgia has already passed its production peak, and the varieties will be finished next week. highbush“says a dealer. “Next week we will load the new crop from North Carolina; a bit later than expected, but with a particularly long window, potentially the longest in the east."

The fruits are already standing out from the beginning in terms of quality and size.

When Georgia is finished, North Carolina will continue to supply the East Coast until mid-July, with production starting in New Jersey in early June as well. On the west coast, blueberries will come from Mexico through May, and California is expected to have a good season from June to late August. “Then supply will come from Washington and British Columbia, where we expect a very strong season. These regions will supply both the east and the west, with Peruvian product also available until the end of the year," says the distributor.

In terms of demand, it is strong on the East Coast, especially for domestic production. In the United States, blueberries have gained popularity among consumers, with a market penetration rate of 45% and a sales volume of nearly $2.000 billion. According to a survey, 41% of US consumers consider blueberries their favorite fruit, highlighting their importance in the marketplace.

Source
freshplaza

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