Citrus volumes up – and moving to new markets

After last year’s lower citrus export numbers, which the Citrus Growers’ Association (CGA) attributes to the global economic downturn, packing figures were up again this year compared to 2008. But while volumes were up, the more telling trend of the past two years has been a shift in the market destination of SA grapefruit, oranges and lemons. 2010 saw SA citrus narrowly missing the 100 million mark in packed 15 kg cartons. 99m cartons were packed, of which 97.2m were shipped. (In 2009, 87.2m cartons were packed, of which 83.6m were shipped). Almost half of SA’s exported citrus was Valencia oranges (about 46m cartons shipped), followed by Navel oranges (22.6m cartons shipped) and grapefruit (12.2m cartons shipped). Where did they go? The trend is away from Europe in favour of newer destinations. “It is evident that exports are moving into newer markets. Whereas in 2008, 52% of total citrus exports went to the EU (continental Europe and UK), in 2010 these markets only received 44%. Exporters preferred to send their citrus to the Middle East (2008 – 18%; 2010 – 22%) and Russia (2008 – 9%; 2010 – 12%),” said CGA CEO Justin Chadwick. Chadwick said SA citrus exports to the UK dropped from 13% of overall exports in 2008 to 10% this year, accountable in part to a narrow profit margin available in the UK and “the myriad UK supermarket standards, certification, etc.”