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Freight & Trading Weekly

New markets open up in wake of CBS

17 Jun 2016 - by Liesl Venter
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Strong growth in Middle East and Far East

Citrus Black Spot

(CBS) may continue

to influence the

traditional flow of South

African citrus, but it is also

resulting in more market

diversification.

According to Glenn Delve of

MSC, there is definitely a lower

volume of citrus moving into

the southern Mediterranean

countries – mainly

Spain and to a

lesser extent Italy

– due to CBS.

“The upside

is that the

Middle East and

Far East markets are

seeing stronger growth

as they take more South

African citrus,” he said.

“China in particular seems

to be the favoured Far East

destination for this season.

We are also seeing new

markets traditionally served

by Europe opening up for SA

exporters.

"An example of this is

West Africa which is now

targeted by fruit and fish

exporters. With competitive

transit times from Cape Town

into the main West African

markets, South African

exporters are in a position to

fill the requirement that has

traditionally been filled by

the European exporters.”

Delve said the strong Far

East market had led MSC

to upgrade its service for

perishable exporters.

“We offer direct products

from Durban on our Africa

Express and Ngqura on our

Ipanema services into the

Far East. On our Europe

service we listened to our

customers’ requirements for

a fast transit time into the

UK and from the start of the

2015/2016 grape season we

called London Gateway as

our 1st POD on our European

schedule.”

According to MSC’s Ian

Fairlie, the drought will affect

2016 volumes.

“Due to the drought

impacting large parts of the

country – and in particular

the large citrus production

area in the Limpopo and

Mpumalanga provinces – we

are seeing lower volumes

than last year combined with

smaller-sized fruit.”

INSERT & CAPTION

The West African

market is now

targeted by fruit and

fish exporters.

– Glenn Delve

 

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FTW - 17 June 2016

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