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Diversification in South African citrus market

The Citrus Growers’ Association (CGA) represents 100% of citrus growers in South Africa and 100% of the citrus produced in and exported from the country.

The world’s second largest citrus exporter and number two exporter in the Southern Hemisphere is further diversifying its markets.

The Citrus Growers’ Association represents 100% of the sector’s growers in South Africa.

“We are immensely proud that South Africa is one of the most advanced countries in all aspects of product development,” said Deon Joubert, responsible for market access at the CGA, which also represents 100% of the citrus produced and exported in the country.

As the second largest citrus producer in the world, South Africa keeps diversifying its markets. Their main volume of exports goes to the EU (45%) and the association helps by continuously working on access to the most lucrative markets such as the US, India and the Far East.

CGA: 100% of SA’s citrus growers

The association represents growers from Swaziland and Zimbabwe (1,400 growers), too, as a non-commercial organisation. CGA provides the industry with the capacity to work diligently on access to global markets; optimising cost-effective production of quality fruit; and helping care for the environment and the community.

The association aims to assist its members in maximizing sustainable profitability through worldwide market access. It realizes that research is the key to success, and 60% of its budget is spent on research aimed at assisting market access, consumers trend analysis and the introduction of new technology.

The CGA provides guidance and assists in setting standards for fruit and quality, ensuring all the grower regions have gone through the appropriate certifications. Traceability is applied to all shipments.

This article appeared on page 56 of issue 142 (March/April 2016) of Eurofresh Distribution magazine. Read that edition online here.

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Exporters of fruit to Russia urged to demand full payment on loading

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South Africa’s Citrus Growers’ Association (CGA) has warned fruit growers of risks of defaults by Russian importers.

Describing the current economic situation in Russia as ‘extraordinary’, the CGA said it is one that demands “extraordinary measures to be taken to prevent losses to SA fruit industry.”

In a message from the CGA representative in Moscow, it advised SA exporters not to ship fruits without 100% payment on the date of loading. “In our view as experts on the spot such condition will be understood and positively accepted by prudent Russian importers. For importers commodities now present better guarantee against losses, than cash in Rubles.”

Forecasts of further decline of oil prices, the present devaluation of Chinese currency, economic problems in Far Eastern countries, and unfavorable news from the New York Stock Exchange are factors expected to see the strengthening of the USD and further weakening of the Ruble, it said.

“So far retail has been loyal to their word given to government to keep prices stable. But with weakening of the Ruble purchasing power in the international markets they will not be able to subsidise the prices, and first of all of imported commodities,” it cautioned.

source: CGA FROM THE DESK OF THE CEO (33/15) 28 August 2015