The South African Citrus Growers Association (CGA) has released it latest export forecast, estimating exports will be down 2.2 per cent to 113.1m 15kg-cartons, compared to 115.7m cartons in 2014.
Soft citrus exports are forecast to remain steady at 10m cartons, with mandarin exports to increase 4.5 per cent to 5.3m cartons, while both navel and valencia orange exports will decrease 3.5 per cent compared to the previous season due to hail in the Senwes and Western Cape regions.
CGA estimated a 2.9 per cent increase in lemon exports to 13.6m cartons, while grapefruit exports will decrease 2 per cent to 15.3m cartons in 2015.
CGA president Justin Chadwick said this upcoming season has “difficult written all over it”, citing global economic pressures, uncertain market conditions, growing export volumes and prioritising the protection of domestic production as potential challenges.
Chadwick offered a word of caution to South Africa’s citrus exports shipping to Russia and the Middle East, urging exporters to impose strict payment conditions on importers.
“Strict payment conditions will allow exporters to identify the responsible partners; while those calling for consignment sales or partial payment deals are hard to find when the market goes south. At the end of the day, the grower bears the losses resulting from a poor deal,” said Chadwick.
