Posts Tagged “Peruvian grape exports”
The first of four break bulk cargo ships from Peru’s Port of Paracas arrived in Philadelphia at the Port of Gloucester in New Jersey January 16. In a historic milestone, the boat transported shipments of Peruvian table grapes.
The accomplishment came due to SENASA of Peru and the USDA which is a breakthrough, resulting the Peruvian industry have a new alternative to ship fruit in containers.
SENSA pointed out this had never been done from Peru. It came about due to a long term coordinated effort with SENASA, PROVID (the table grape association), the shipping companies, and the ports to achieve this operation in break bulk ships.
This type of transportation is more efficient, when considering the global container shortage, where a demand that exceeds the inventory creates substantial congestion in container terminals.
Break bulk ships arrive at private terminals which are less congested, thus avoiding the congestion at other terminals. This results in fruit being unloaded faster.
A second ship is on its way from Peru to the U.S., a third is about to sail, and the fourth is ready to leave the week of January 20-24.
The first vessel arrived in Philadelphia carrying 3,876 pallets and 76 containers of grapes.
The second, third, and fourth vessels will deliver 4,500 pallets and 100 containers each. Break bulkHe favors Peruvian grape exports to the United States, especially during the winter in the northern hemisphere, when operations become longer and congestion at ports builds up.
This permits ships to bypass the line and avoid the 7 to 10-day congestion delays in the ports today.
Peruvian table grapes are among the fastest-growing industries, increasing from 400,000 metric tons (MT) in 2019-2020 to 622,000 MT in 2022-2023.
In this context, market research firm Fluctuante recently published a report on agro-exports, analyzing the current state of the industry in Peru.
The report indicates that in the 2023-2024 campaign, table grape exports slightly declined to 525,000 MT due to heavy rains and high temperatures affecting fruit quality. Despite the downturn, Peru remains the world’s largest exporter of table grapes.
Meanwhile, China significantly increased its exports, reaching 490,000 MT in 2023-2024. South Africa maintained a stable share, while Chile’s exports decreased from 496,000 MT to 480,000 MT over the same period.
The Peruvian Table Grape Producers Association (Provid) projects record exports for the 2024-2025 season, estimating more than 78 million boxes of 8.2 kg each, equivalent to approximately 640,000 MT.
Provid highlighted that this volume represents a 25.4% increase over the previous season, driven by production recovery along the north coast and the introduction of new, higher-yield varieties.
Peruvian grapes are primarily destined for the United States, Europe, Latin America, and China.
David Sandoval, general manager of Fluctuante, pointed out that Peru has transitioned from an emerging exporter to a global leader in the table grape market.
He explained that the industry’s growth began in the 1980s with initial Red Globe exports, but “it was in the last decade that the country solidified its position through crop expansion, varietal innovation, and strategic trade agreements.”
Sandoval noted that Peru achieved a milestone during the 2022-2023 season by exporting 585,000 tons, accounting for 16% of the global market and surpassing long-standing competitors.
“For the 2024-2025 campaign, we expect a new record of 640,000 tons, driven by production recovery and the introduction of seedless varieties like Sweet Globe and Autumn Crisp,” he said.
Peruvian table grape exports reach more than 50 international markets. The primary destinations include the United States, Europe, the Netherlands, and the United Kingdom.
Latin American markets, such as Mexico and Brazil, also play a significant role. In Asia, China is a growing market for Peruvian grapes.
Sandoval remarked that in December 2024, the industry successfully exported grapes cold-treated in shipholds for the first time in South America.
“The shipment, consisting of 4,000 pallets—nearly 200 containers—departed from the Port of Paracas bound for the United States. This logistical innovation aims to improve efficiency and quality in the supply chain,” he said.
A 17 percent increase in Peruvian grape exports for 2024-25 are forecast to reach a record of 620,000 metric tons, compared with the previous year.
The U.S. was Peru’s top export destination in 2023-24 with exports reaching 244,000 metric tons (up 3% from the previous season), followed by the Netherlands with 70,000 metric tons (up 7%) and Mexico with 45,000 metric tons (up 21%).
An annual deciduous fruit report on Peru from the USDA estimates that grape production will total 790,000 metric tons in 2024-25, up 2% from the previous season.
In early November 2023, Peru’s newly refurbished Port in Pisco started to serve both Ica and Arequipa regions with weekly express services, the USDA said. The Pisco Port connects Ica with the U.S. via a trans-shipment hub in Panama (to Savannah, Philadelphia and Los Angeles), Manzanillo (Mexico), Vancouver (Canada) and northern Europe (Rotterdam, the Netherlands, and Amberes, France).
Transit days on average will be 12 days to Philadelphia, 18 days to Mexico, 22 days to Los Angeles, 20 days to Rotterdam and 30 days to Vancouver, the report said.
The 2023-24 growing season was seriously affected by unusual weather conditions — such as heavy rains and high temperatures — that resulted in a lower harvest. Production in the north of the country (Piura, Lambayeque and La Libertas) was severely affected, the report said.
This year, the USDA said the expected increase in grape production is due to better yields in northern Peru (Piura), which was severely hit by an extremely hot winter and heavy rains last season.
Peru’s table grape production area stretches from north to south along the Pacific Ocean, the report said. Peru’s five most popular grape varieties for export are Sweet Globe (22%), red globe (16%), Autumn Crisp (14%), Allison (7%) and Sweet Celebration (5%). Currently, 75% of table grapes are licensed, and 25% are traditional non-licensed varieties.
Grape production is mainly located in Ica (49%) and Piura (37%), the report said. Other relevant areas are Lambayeque (6%), La Libertad (5%) and Arequipa (3%). The total area under cultivation is estimated at 87,522 acres, and the harvesting season in Peru begins in October and ends in April with a north-to-south harvest pattern. With innovative technological advances, table grape production in Piura can harvest twice a year, once in March/April and again in November/December, the report said.
U.S. retailers are focused on table grape imports and fruit in cold storage as the domestic harvest period has come to an end and shipments are now coming in from Peru, Chile, Brazil, and South Africa, according to a report by San Lucar.
Peru
With Piura already over, Ica is now in full export season. From early April up to late December, 41,014,134 total 18 pound boxes have been shipped being the most exported White seedless (46%; 19,055,266 boxes), Red Seedless (25%; 10,215,686 boxes), Red Globe (17%; 7,066,089 boxes) and Black seedless (5%; 1,863,095 boxes).
Of these exports, 56% are destined for the U.S., 10% to Latin America, 24% to Europe, and 9% to Asian markets.
Even though Peru is expected to export fewer grapes this season year-on-year, until week 51 of 2023, the country had exported 23% more than the same period last year.
Brazil
The export period out of Brazil lasted until week 52, the last of 2023. The South American country exported a total of 5,473 containers. Of the total volume, 3,923 of the containers were shipped into the EU and 1,453 into the U.S.A.
Chile
Reports out of Chile show that shipments to the U.S. started four weeks earlier than last season and unit week 51 of 2023, it had already exported 1,279,642 boxes.
As of the first week of November, Peruvian grape exports to the U.S. totaled 10,295 tons, up 33 percent from 2022. The leading Peruvian exporters at this point are Ecosac Agrícola S.A.C., with 16 percent, and Sociedad Agrícola Rapel S.A.C., with 9 percent.
Also as of the first week of November, Peruvian grape shipments totaled 26,581 tons, 12 percent more than the same week last year.
With this, to date, shipments have already reached 111,521 tons, which has placed this season 54 percent ahead of last year, as reported by freshfruit.pe.
The early November totals revealed product was exported to 32 destinations, of which 3 accounted for 67 percent of all shipments. These were the U.S. with 39 percent of the volume, followed by the Netherlands with 20 percent, and the UK with 9 percent.
Shipments to the Netherlands totaled 5,246 tons, which was 22 percent higher than the same week last year. The leading Peruvian exporters were Ecosac Agrícola S.A.C., with 27 percent, and Pura Fruit Company S.A.C., with 8 percent.
To the UK, shipments of Peruvian grapes totaled 2,376 tons, which meant an increase of 2 percent compared to 2022. The most prominent exporters were Sociedad Agrícola Rapel S.A.C., with 19 percent, and Ecosac Agrícola S.A.C., with 18 percent.
The Peruvian Producers and Exporters Association (Provid) forecasts a 9 percent decline in grape exports for the 2023-24 season. If the prediction holds this would amount to about 65 million 18-pound boxes.
As of November 1, Peru had exported 14 million boxes, about 28% of the total projection. Some 38 percent of Peruvian grapes are exported to the U.S.
Provid blames most of the decline on adverse weather including El Niño Costero, resulting in heavy rains and flooding in Peru’s northern coastal regions.
There also was cyclone Yaku which brought similar conditions to Tumbes, Piura and Lambayeque, some of the main producing regions in the country.
The U.S. continues to be the leading destination for Peruvian grapes, in part because the U.S. domestic production is currently lower than expected.
The first table grapes of the 2023-2024 Peruvian season should start in September, when the campaign normally starts in October, according to Agraria. This will be an earlier started compared to a year ago.
Cyclone Yaku in March resulted a lot of rainfall. which generated the proliferation of fungi in the vine plants on the northern Peruvian coast, which would cause a lower production of fruit in that area of the country.
A different situation can be seen in the Ica region, where the heat caused the bud to improve and advances the vegetative development of the fruit, so earlier grapes and higher production are also expected.
As Ica is the main producing region of table grapes in Peru and a higher production is projected, it is expected that the production (and export) of table grapes by Peru in the 2023-2024 campaign will be higher than the previous campaign.
There will be fewer table grapes in the North.
From January to mid-July of this year, table grape exports from Peru grew in volume 16 percent (close to 45,000 more tons) compared to the same period in 2022.
The 2022-23 Peruvian table grape season is continuing to show signs of varietal change, with Sweet Globe taking the throne as the most exported cultivar this season, according to Agraria.
With over 16 million 18-pound boxes shipped to date and an almost 40% increase year-on-year from 11.5 million boxes exported in 2021-22, Sweet Globe surpassed the market staple Red Globe by over 2 million boxes.
The Autumn Crisp and Allison cultivars follow, with 6.8 and 5.9 million boxes exported respectively for the 2022-23 season.
Agro exporter company Safco Peru reports this is the first time in 20 years the Red Globe loses its crown, with market trends now pointing to a rise in white seedless varieties.
Additionally, weather, logistic and political issues in late 2022 and early 2023 caused some of the late deals to be lost.
Safco Peru estimates 700,000 boxes were lost due to the blockades in Ica during January and another significant amount -more difficult to estimate- of what was going to be the late harvest in Piura, due to the heavy rains that had been falling in the region for more than a month.
The company expects traditional varieties to continue a downward trend, while green licensed varieties are projected to continue to rise boosted by a major growth in the Autumn Crisp cultivar.
The Peruvian Association of Table Grape Producers and Exporters’ (Provid) second crop estimate for the 2022-2023 season projects exports at 73 million boxes, a 13% increase year-on-year.
Peruvian grape exports were off to a good start in October, as shipments abroad totaled $98.1 million, reflecting a growth of 29 percent compared to the same month in 2021 ($76.2 million), according to Gestion, citing statistics from the Association of Exporters (Adex).
For the 2022-23 season, the U.S. ($27.5 million) positioned itself as the largest market, receiving 28 percent of the total, reflecting an increase of 164 percent. In second place was the Netherlands ($17.01 million) with a share of 17 percent, reflecting a decrease of 33 percent.
They were followed by the UK ($10.7 million), Mexico ($5.7 million), and Canada ($5 million). Hong Kong, China, Spain, Colombia, and South Korea completed the top ten.
There is some concern political unrest in Peru could threaten exports. Peru’s agricultural industry is losing some $100 million a day as a result of political unrest, says Luis Fernando Helguero, the nation’s minister of foreign trade and tourism.
According to the ADEX Data Trade Business Intelligence System, grape shipments totaled $690.2 million from January to October 2022, reflecting an increase of 14.5 percent compared to the same period in 2021 ($602.8 million).
Its largest destination was the U.S. (about $310.5 million), followed by Hong Kong ($70.7 million), the Netherlands ($65.2 million), China ($50.9 million) and Mexico ($36.6 million).
Peru will continue to be the world’s main exporter of blueberries in 2022 for the fourth year in a row, as reported by Andina, based on projections by the Association of Peruvian Exporters (Adex).
In 2021, Peruvian blueberry exports reached $1.221 billion, reflecting a 172 percent increase of the previous year.
Expectations for the current year are based on good performance in the season thus far and the distance created from the second largest blueberry exporter (Spain), whose share is half of what Peru has recorded.