South African table grape exporters say that they will have additional packing weeks this season to gear up their supplies for the Chinese New Year. The industry will be able to pack until week three next year and still be able to deliver grapes in time for the festive season.
The Chinese New Year period therefore fits perfectly into the South African supply programme, said industry body South African Fruit Exporters’ (SAFE) Rutger von Wulfen.
As the new South African season starts there are clear indications of a definite market diversification amongst South African exporters. “There seems to be a very deliberate effort amongst South African grape exporters to sell more of their grapes in the Middle and Far East,” Leon van Biljon of Dole South Africa told Fruitnet.com.
This is happening, according to him, despite the fact that the strong South African currency and the weak US dollar make returns in these markets less attractive.
“There is a clear understanding that these markets will need to be developed and that this will not happen overnight. We have to invest in long term growth.”
Week 50 is the first major shipping week for South African grapes to the east and the first significant arrivals will be during the first week of January. Exporters hope that the fruit shipped prior to this week will be cleared before the bigger shipments arrive so that they can have a clear market.
“In China the US season and the Chinese domestic season had been poor with low prices,” stated Anthony Butler of Newfresh. “We hope that things will improve now that we are able to offer the premium quality South African products.”
Mr van Biljon says that most of the South African production regions have experienced excellent growing conditions and the quality of the grapes and berry-size has been excellent so far this season.
Mr Butler said the major focus in the early season would be on white seedless grapes where Newfresh did so well last year.
“It also seems that Namibian exporters have realized that it is difficult to compete with the South African white varieties in the East and we will hopefully see less of their product this year,” he added.
Recently reported damage to crops in Chile and other South American countries may also add significantly to South African fortunes this year. With markets in the UK and Western Europe reportedly short of early season grapes, some exporters may be inclined to chase the higher prices.
While the Chinese New Year period is obviously continuing to play a major part of the trade cycle in Asia, Mr Butler says that it does not necessarily promote more sales of grapes.
“There is also the danger that exporters will ship too many grapes during the pre-New Year period, which will be damaging to the trade,” he said.
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