Cheap, substandard citrus gets a welcome in Russia

With Russia’s weak rouble resulting in food inflation of 16-17%, Russian importers are looking to secure fruit at lower prices – with downstream impact on SA citrus exporters.

According to Citrus Growers’ Association CEO Justin Chadwick, the message from Russia is that there are a lot of Egyptian oranges of substandard quality available, selling at very low prices. And this situation will continue through to end May.

SA shippers are therefore urged to exercise care in the market – and equally so in the Middle East.

“Here strict payment conditions must be imposed – this is not the year to speculate,” he said.

“Growers need to ensure that they understand fully what terms and conditions their export agents are negotiating; at the end of the day the grower bears the losses resulting from a poor deal.”