Could trade wars derail exciting fruit branding initiatives?

Some very exciting new branding initiatives have emerged in recent times which may encourage worldwide production, and which may see these products appear on global markets for a significant part of the year.

If this can be done, it will boost both the value of the brands, and the cultivar sold under that brand.

Some of the brands that come to mind are Autumncrisp, ClemenGold and Flash Gala – which are already highly successful across certain markets of the world and are making great progress across their respective South African industries.

Over the years, national brands have declined, with the leading fruit categories turned into commodities where consumers often struggle to distinguish one origin from another.

Experts believe that this can only be resolved by utilising unique cultivar brands which offer not merely a grape, and orange or an apple, but something more appealing that will make consumers come back for more.

Successful brands are those that are on the markets for considerable parts of the year. By planning these initiatives well, production in the Northern and Southern Hemisphere could be dovetailed and, with growers and marketers achieving the same high standards, consumers will develop increasing confidence in the products sold under these brands.

However, in the present trading environment, brand development could face additional challenges.

High trade tariffs, such as those envisaged by the Trump administration, may apply on imports from different countries and could make it uneconomical to export even these very special branded products.

For instance, if the US applies tariffs of 30 per cent on South African grapes, it may be uneconomical to ship Autumncrisp to the US market, where the brand is already enjoying much success.

On the other side of the world, high import tariffs in India on apples may hinder or slow the success that South African Flash Gala apples have enjoyed up to now.

ClemenGold, meanwhile, has established itself as a premier mandarin brand in many markets of the world.

In South Africa it is on the shelves of one of the leading retailers for 12 months of the year. If it is not available as South Africa-grown fruit, it is imported. It remains in front of consumer eyes year-round.

Autumncrisp is perhaps one of the most successful new grape brands seen in many years. There are, however, cultivars from other programmes that could be equally successful.

The idea is to give consumers products that will keep them interested both in terms of appearance and taste over the longest possible periods.

You can only do that if you can grow them across the world and can ship them under the best entry conditions. Trade tariffs – which are too high – could destroy the whole idea.

Normally, when these brands formulate, exporters and brand developers allow only fruit of certain quality to be sold under its name.

There are climatic differences in the world and that is why the brand leaders also sometimes allow a second brand, slightly lower in quality, to be shipped.

Sun World recently noted that a significant share of Sugrathirtyfive (the registered name for Autumncrisp) exports from South Africa were destined for North America, and that volume continued to grow.

“During the 2023/24 season, approximately 12 per cent of the variety’s total exports from South Africa went to North America, although we don’t have a precise breakdown between the US and Canada,” it noted.

“This increase supports Sun World’s broader global brand strategy, which focuses on consistent, year-round availability of proprietary branded grapes in key international markets.

”The rise in exports from South Africa contributes to maintaining that continuity,” Sun World added.

This is why both the owners of these cultivars and brands, and others that may be added in future, will watch future developments in terms of tariffs between South Africa and the US with keen interest.

It is now the off-season, but by the time the new campaign starts in November this year growers and exporters of table grapes hope that things will have settled down enough for them to continue to grow sales in the US.