While this season’s exports of South African grapefruit to China have flooded the market, a 300 per cent increase in lemon exports has been met with huge demand.
“We’re seeing a phenomenal season for South African lemons in China,” Jason Bosch from Shanghai-based fruit importer Origin Direct Asia told Asiafruit. Bosch said lemon exports to China have risen 300 per cent compared to previous years, but high levels of demand were keeping prices up.
Promotions on the health benefits of lemons in China are also driving up demand and prices for the fruit, Bosch added.
“China recently began publishing information on the health properties of lemons, and we’re seeing a rise in people consuming lemons in things like lemonade, and slices of lemon in hot water – the health kick – and it's driving up prices of lemons.'
One wrong move, however, and Bosch said the lemon market could turn sour. “Suppliers are pushing up the prices, but if growers mess up on just one box with size or quality, we could see the market turn.”
Bosch said that a relative lack of competition from other citrus exporters has left the South Africa lemons reigning king in China.
South African grapefruit floods market
Conversely, the market for South African grapefruit has been hit by oversupply. In light of the citrus black spot-led ban on South African citrus exports to Europe, growers are redirecting large quantities to China.
“South African grapefruit have overloaded China with about 300 per cent more grapefruit on the market – leading the market to almost fail,” said Bosch. “There’s only been stability in the last two weeks.”
Bosch said that slow movement in stock on early shipments saw prices drop drastically, only stabilising in the last few weeks.
