South Africa
As the South African citrus season gets underway growers in some areas have enjoyed heavy rainfall after years of drought The increased volumes as a result of the rains may or may not be a blessing given the closing of the Russian market which would normally take 10% of the South African citrus crop. Along with growers around the world, the South Africans are facing increased input costs and unreliable shipping schedules. On top of this exporters to Europe are facing the threat of a change in the regulations for shipping citrus there with the potential introduction of cold sterilisation or blanket temperature requirements.
and we are sad for all those people affected.”
SRCC would normally export to both Russia and Ukraine, these two markets would take 10% of the company’s fruit.
“We have been opening markets up all over the world over the last ten years with great customers so we are obviously working on alternatives. But unless consumption can undays River Citrus Company (SRCC) SRCC exports to all continents excluding match the supply for all of us this will be which grows citrus in the Sundays Oceania and the USA. The European mar- challenging. We only supply on demand River Valley close to Port Elizabeth in the ket and the Middle East are the biggest and orders, and one has to be extra careEastern Cape started the lemon harvest in markets but Hannes said that all markets ful. Freight rates are extraordinarily high mid-March and will be in full harvest with are important in a world where fruit sup- and input costs probably escalated by lemons the week following Easter and ply is growing. 30% annually. Like everyone in the world Navels and Clemenvilla soon thereafter. of fruit, we cannot afford to place product “Until the invasion of Ukraine the markets without sales.” “We had much improved rainfall and it had looked positive. It is a short European still looks positive so I expect improved lemon season and lemons are important It is as always a case of demand and supply, volumes with good size and quality,” to our valley. It is arguably the best place if markets are under supplied, prices will explains Hannes de Waal CEO at SRCC. to cultivate lemons in the world. I expect- increase but that also works the other way “This higher-than-average rainfall has ed a good season for late oranges as well, round too. According to Hannes fruit is in been crucial to us as it washes the soils now, it is uncertain. However, we prepare urgent need of inflationary increases and and thunder storms represent as a nitro- to serve our customers and trust that this that will not come about if major markets gen source.” will be resolved soon. This is just tragic are out of play.
S
178
AGF Primeur 4 • 2022