According to Egyptian exporters, China’s increasing dominance of the region’s citrus category is shortening the window for Egypt
In May of this year, a shipment of fresh Egyptian oranges arrived in Shanghai, becoming the first goods from the country to benefit from China’s zero-tariff policy for African nations.
Given that Egypt exported an estimated US$26mn of fresh oranges to China last year, its exporters might be expected to view their future in the Asian market with optimism.
However, China’s increasing regional dominance in the citrus category is shrinking the window for Egyptian companies.
“China is extending its season for citrus and extending its reach overseas,” one Egyptian exporter told Fruitnet. “They produce Valencias from May to June, Navels from September to April and Lane Lates from April to May. So they’re covering the entire year now. I think the only gap for Egypt will be August. For Chinese suppliers it’s just two days by truck to Hong Kong, and a few days more to the rest of Asia.”
As a result, Egyptian citrus exporters are increasingly looking to shift supplies, to established markets like Europe, to emerging markets in Africa, and to newer markets like North and South America.
“Since our business was founded, East Asia has been the main market,” the exporter said. “From the beginning of the conflict in the Middle East, especially due to the issues in Dubai, we’ve had to shift our focus to the West. We’ve established a presence in Canada and Latin America. We’re pushing a little bit more in Africa as well.”
The Brazilian market opened up for Egyptian exporters after its own production was severely affected by the HLB virus.
“Their volumes went down dramatically,” he said, “and demand for Egyptian oranges increased on the Brazilian market as a result. It’s really opened up the door for Egyptian produce to establish a footing in Latin America.”
Another Egyptian exporter sees good possibilities on the European market as its volumes to China fall. “With the shortage in Spain, and continued extreme weather conditions, I think Europe will be number one for us,” he said. “We’re also waiting to gain access to South Korea and America.”
