South Africa citrus

With the start of the new South African citrus season barely a month away, the ongoing fate of the marketing of South African citrus in Europe may well be decided in and around the world’s biggest fruit event next month in Berlin.

With so much at stake, it is no wonder that hordes of South African fruit industry figures will descend on the German capital to attend Fruit Logistica. South Africa’s representation in the form of its normal own pavilion will be restored to its former size, showing that South Africa is indeed serious about the future of its products in the old traditional markets, and particularly in the EU.

The EU is where the biggest threat to the South African citrus industry is emanating since the dark days of apartheid and the threats of international sanctions. It is interesting to note that for the past 120 years, on only two occasions has the free flow of fresh produce from South Africa been disrupted. On both occasions it was caused by world wars.

Now it is the problem with a little thing called citrus black spot which has South Africans up in arms over possible intervention by the EU and a possible ban of all South African citrus, except from CBS-free regions, from entering the EU. On the one hand the South Africans argue that citrus fruit from listed areas in South Africa has been exported to the EU for just about a century and not a single orchard in the EU has been contaminated. They also claim that they have scientific evidence showing that CBS cannot be transferred from South Africa on fruit to the European orchards. The citrus regions of the EU argue that this has not be proven and even if there is just a slight chance that it could happen, South African fruit should be banned.

The ongoing study by the European Food Safety Authority (EFSA) on the risk that CBS poses for European citrus producers is now expected at the end of January, hence the anxious wait and the nervousness in the South African orchards.

The South Africans have stepped up their diplomacy and shortly before Christmas a high-powered South African citrus delegation, led by Citrus Growers’ Association chairperson Pieter Nortje, travelled to Europe to wrap up the season and to hold meetings with Dutch and German importers, the EU authorities, European grower representatives and other interested parties. On its return CGA spokesman Justin Chadwick said the importance of South African citrus trade in Europe is widely recognised and supported.

However, will this be enough to prevent a ban in 2014? The EFSA report expected shortly will obviously be of major significance and the additional manpower which has been unleashed by the South Africans in the negotiations to try to find a solution will play a role. Many now believe that clarity will only emerge during Fruit Logistica in Berlin. This event of February 2014 will therefore mark the date where decisions will be taken to either make or break the way South African fresh produce has been traded into Europe.

While there is the small matter of dealing with citrus and the CBS issue, South African growers and exporters flogging to Berlin will want to assure their receivers that the climatic conditions which have been playing havoc in some South African production regions is unusual and that they need not look elsewhere for alternative supplies.

Frost, rain and hail have affected growers in the major grape regions of the Orange River and the Hex River Valley, while hail and rains have severely affected production of stonefruit, pears and apples in some Western Cape regions, particularly Ceres.

The hail damage will leave deep marks on the Ceres region and there are a number of entities which will not be packing a crop this year. Some packhouses have been closed and people who depended on the fruit season for an income will have a difficult time ahead.

Leading grower Dutoit Agri, echoing statements from others in the region, says its group is still busy with a major assessment on how to deal with the losses on some of its farms. Frustratingly, the damage also slows down its efforts to bring greater volumes of exclusive and unique new varieties onto the markets.

This also applies for stonefruit. Ceres has in recent times also become a fast-growing region for stonefruit, and exporters specialising in stonefruit exports had to dramatically reduce their commitments. This has resulted in panic among UK and European receivers who just could not get their hands on enough fruit in the run-up to Christmas. All indications are that supply of grapes and stonefruit will be short for some time to come.

It is still too early to forecast the 2014 crops for citrus and avocados, but judging on the final citrus export figure for 2013, which ended well in excess of 113 million cartons, there are now clearly new benchmarks for citrus production in South Africa. The long-expected surge in production has arrived. It is also expected that the avocado season, which opens in March, will be an on-year with volumes exceeding last year’s harvest.

Hortgro, in its latest newsletter, adjusted the projected stonefruit volumes for the season. The most significant change is that Hortgro now expects a considerable increase in peach volumes, which is set to rise by some 17 per cent to 1.6m trays. However, peaches form a small part of the total stonefruit export crop and this unexpected rise, which bucks the trend for the other stonefruit categories, will not prevent total stonefruit exports dropping by three per cent compared to last season. Apricots will drop below one million cartons and will be 15 per cent down on last year, nectarines will be six per cent down and plums three per cent.

The final Orange River crop of table grapes is expected to be well down on last year and is now pegged at around 12.5m cartons compared to more than 16m last year. Of more concern is the fact that recent rain damage in the Hex River Valley had also just about wiped out the early seedless varieties. However, this is a small part of the crop and it is expected that the later crops, particularly Crimson Seedless, will be a good one.

The apple and pear harvest has started in earnest and packing results in Ceres will determine whether original estimates of damage of around seven million cartons of apples and pears will be confirmed or increased. —