Mexico’s orange producers face difficult season
South Africa’s orange exports set to rise 8%
South Africa’s 2019/20 orange crop is projected to grow by 1% to 1.6 million tons, according to CGA data. The increase is attributed to good rainfall in the main growing regions, the rise in area planted, better water management techniques by farmers, and new plantings of high yielding and late-maturing varieties.
Orange prices remain high amidst strong demand for fruit and juice
The current Coronavirus pandemic appears to have had a relatively small impact on the EU’s 2019/20 harvest, coming as it did at the end of the campaign. The total crop is projected to reach 6.2 million tons this season, according to data released by the EU Commission. This volume represents a 5% drop from the previous campaign, due to smaller yields. In recent weeks, demand has risen across the world for both oranges and orange juice as consumers look for sources of vitamin C to remain healthy.
Sicilian oranges arrive in China to mark China-Italy pact
To mark the new trade agreements signed by Italy and China, the first 40 tons of Sicilian oranges left from Sicily destined for Ningbo, in Zhejiang. The move follows the visit of Chinese President, Xi Jinping, to negotiate Italy’s involvement in China’s Belt and Road Project.
Moreover, there has been a cooperation agreement signed between the port of Trieste and the Chinese group China Communication Construction Company as a gateway in and out of Central Europe for trade with China.
Global orange production up 9% in 2018/19
The world’s orange output for 2018/19 is expected to rise 9% to 51.8 million tons, thanks to favourable weather conditions in Brazil and the US. According to USDA data, fresh orange exports are predicted to be up 4% to 5.1 million tons. Brazil’s crop is projected up 13% to 17.8 million tons, of which 12.8 million tons is for processing (+22%). China’s output is expected to fall slightly to 7.2 million, due to unfavourable weather in Jiangxi province. South Africa and Egypt are the top two suppliers to China, accounting for 60% of the country’s imports.
Mexico’s citrus crop up 3% in 2018/19
Citrus production in Mexico is expected to increase in 2018/19 thanks to optimal weather conditions and improved yields. Fresh orange and lime production is forecast to continue to grow. Due to the decrease in orange production in Florida, fresh fruit exports to the US for processing from the north of Mexico have increased. Orange producers indicate a strong demand from processors due to attractive orange juice future prices.
EU citrus production declines less than expected in 2017/18
The EU’s citrus production is projected to reach around 11.1 million tons in 2017/18, 2.4% higher than previous estimates had suggested, but still representing an overall fall of 6.3% from 2016/17. The reduction stems from production drops in the main citrus-growing regions, with Spain and Italy expecting a 10% and 3.6% fall respectively. Together, Spain and Italy account for 80% of the region’s orange production. The main reasons for the decline are the drought and high temperatures recorded in 2017. The main markets for EU citrus exports remain China, the Middle East and Canada.
The high EU orange prices look set continue
Italy’s orange production forecast to fall by 10% in 2017/18 campaign
Europe’s second largest orange producer, Italy, expects to see drops in production of orange and tangerine by 10% and 5% this campaign compared to 2015/16 mainly owing to the summer drought. Late September rains helped the crop recover and develop a high-quality product and medium calibres. Meanwhile, the country’s lemon production is forecast to remain stable.