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Table grape news Trading places
Trading places
As Australian table grape growers and exporters reach the culmination of their year-long efforts, we widen our view to global trade and production.
Australia's production is expected to remain roughly at 210,000220,000 tonnes in 2021/22 after a challenging year, but what is the world experiencing? Adverse weather affected many Southern and Northern Hemisphere growing nations, with global production remaining roughly unchanged last year at 24.7 million tonnes.
Countries like Turkey, Italy and Chile experienced severe weather events, as production held steady or declined. China offset weather-induced losses, as the largest producer of table grapes globally. Continued enhancements in crop management techniques led to higher volumes and strengthened imported fruit quality, with the country continuing its stronghold on production with 11 million tonnes.
Global trade in table grapes reported by United Nations Comtrade in 2019 was 4.5 million tonnes worth AU$11.2 billion equivalent. Global trade volume increased on average by 1 per cent per year over the past five years, meaning almost 20 per cent of table grape production is traded. Over 20 years the trade in table grapes has increased from 2.5 million tonnes to 4.5 million tonnes with trade to Asia influencing the growth particularly from 2009 to 2018. v
CHILE PERU
Chile is the world’s largest exporter of table grapes. However, the trend has fallen 8 per cent per year over the past five years. Exports also dipped 13 per cent to 524,278 tonnes in 2020/21 (12 per cent of global exports), with an average export unit value of AU$3.61 per kg. In 2020/21 United States (US) was the main destination, accounting for 49 per cent of Chile’s table grape exports by volume, followed by China with 15 per cent. Exports to China decreased 30 per cent in the year-on-year, due to the supply capability and logistics impacted by the pandemic. Korea and Japan are also important Asian markets for Chile, though both were around 5 per cent lower in the year. Export season: January to May Peru is a rapidly expanding producer and exporter of table grapes and now exceeds the production of Chile. In 2020 Peru produced 665,000 tonnes of table grapes. Peru’s dry coast, combined with precision irrigation, enables Peru to mature vines 55 per cent faster than in neighbouring countries.
Grape production is mainly located in Ica (41 per cent) and Piura (22 per cent), estimated at 31,500 hectares.
In 2020/21 Peru exported 465,777 tonnes of table grapes, with an average export unit value of AU$3.16 per kg. The US was the main destination (42 per cent) by volume, followed by Europe (25 per cent share), and Asia (16 per cent). Peru commenced supplying to mainland China in 2016.
Export season: October to February
References: USDA report on global grape production, NCX Drahorad, Fruitrop
SOUTH AFRICA
South Africa is the largest table grape producer in Africa and produced almost 400,000 tonnes, according to industry data. In 2020/21 South Africa exported 384,297 tonnes of table grapes, or 90 per cent of production with an average export FOB unit value of AU$2.49 per kg. The volume was 15 per cent higher than the previous year, reflecting a production increase. Europe strengthened its position as the main destination accounting for 75 per cent of all exports by volume followed by Asia and Middle east markets. Exports to China dropped 13 per cent facing stronger competition from Peru. South Africa does not have access to Japan, Korea or Thailand, and has even greater challenges than Australia with entry to Indonesia. Export season: December to March
CHINA
China is the world’s largest table grape producer. In 2020, China produced 11 million tonnes – 44 per cent of global production – almost 10-fold from 2000, when production was little more than 1 million tonnes.
In 2020/21 China exported 425,640 tonnes – only 4 per cent of total production. Ninety-six per cent of exports were sent to Asian markets. In the past five years, export growth of table grapes from China has been about 14 per cent per year. Thailand, Vietnam and Philippines were the main destinations. China sends large volumes of grapes and citrus and pome fruits to these markets in return for large volumes of tropical bananas, lychees and dragon fruit. China imports table grapes mostly from February to September. Export season: July to January
ITALY
Italy is Europe’s largest producer and exporter of table grapes, exceeding 1 million tonnes in 2019, a 5.5 per cent increase per year on the five years prior. Puglia (52%) and Sicily (40%) generate 90 per cent of production. Italy’s seedless grape industry is moving rapidly. Larger farmers are planting new varieties, international breeders are investing in Italy, and main players have launched their own programs of varietal innovation, according to NCX Drahorad, an Italian service company to the industry. In 2020/21 Italy exported 454,902 tonnes of table grapes with an average recorded export unit value of AU$2.62 per kg. Almost all (99 per cent) exports stay within Europe, predominantly Germany, France and Poland. Small volumes are sent to the Middle East and Africa.
Export season: July to December
USA
The United States is a net importer of table grapes, importing almost twice the volume exported. In 2020, the US produced 871,000 tonnes of table grapes, mostly in California, and imported over 668,000 tonnes from Chile, Peru and other Latin American suppliers to maintain supply year-round. In 2020/21 the US exported 360,053 tonnes of table grapes, declining 3 per cent, with an average export unit value of AU$3.21 per kg. Canada and Mexico were the main export destinations, accounting for 57 per cent of the US exports by volume, followed 32 per cent to Asia, including Japan and South Korea.
Australian and New Zealand trade accounted for 5 per cent of US table grape exports, falling 30 per cent.
Export season: June to December
SPAIN
Spain is the second largest producer and exporter of table grapes in Europe. Spanish table grape production reached 331,000 tonnes in 2019 – increasing 3 per cent per year over five years. Almost 50 per cent of grapes are produced in Murcia, and expanding, while production in Valencia and Andalusia declines.
In 2020/21 Spain exported 200,115 tonnes, with an average recorded export unit value of AU$3.42 per kg. Ninety-six per cent of exports remain in Europe, with the UK and Germany the main destinations (a combined 55 per cent of export volume). Asia, India and Africa are seen as opportunities and, while a trade agreement was signed with China in 2019, transport time (60 days, double that of pre-Covid) has hampered exports.
Export season: July to December
INDIA
India is the second largest producer of table grapes in Asia after China. In 2020 India produced 2.3 million tonnes, a 4-fold increase on the decade prior. In 2020/21 India exported 268,002 tonnes of table grapes, average export unit value of AU$1.56 per kg. Main export destinations are Europe (39 per cent by volume), Asia (mainly adjacent Bangladesh and Nepal, 37 per cent), Russia and the Middle East.
Export season: January to April
TURKEY
Turkey is the largest table grape producer in the Middle East, producing about 2 million tonnes per year. Most are grown in Turkey’s Aegean Region. In 2020/21 Turkey exported 214,597 tonnes of table grapes, with an average export unit value of AU$1.03 per kg. Russia is the main destination (54 per cent), followed by the Ukraine and Eastern European markets. Export season: from July to December
MEXICO
Mexico’s tables grape production has almost doubled in the past decade. In 2020 Mexico produced 407,000 tonnes, half of which is exported. The state of Sonora (Hermosillo and Caborca) in north west Mexico represents 95% of the total table grape production. In 2020/21 Mexico exported 190,156 tonnes of table grapes (99 per cent to the US), falling 7 per cent year on the previous year with an average export unit value of AU$4.06 per kg. Export season: May to July
