OVERVIEW GLOBAL MARKET MANGO

The latest season finished several months ago and it is still too early to make predictions about the next one. In July, an exporter stated that the country wanted to export more to Korea, Canada and the US; however, that would require an investment from the growers, because the requirements are very high. The mangoes should, for example, reach the Korean market in perfect condition and without any stains on the skin. That will require a lot of investment on the part of the growers, because there is still plenty of room to improve in the management. Pakistani mangoes are also finding their way into the European market.

US traders are currently importing mangoes from Ecuador, namely the Tommy Atkins, Haden and Kent varieties. An importer says that it has not been a good season for mangoes. There has been a large supply of small sizes and the price has been disappointing. "The market has recovered again as more large sizes have become available," affirms the importer. In mid-December, the market will move away from Ecuador and get its supply from Peru. The hope is that the Peruvian season will have a better start, but that is unlikely. With the two countries on the market there is often oversupply. The price for the small sizes stands between 4 and 5 dollars. That's higher than any time before this season. The large sizes cost 5 to 6 dollars, which is a reasonable price.

Mangoes have been one of the most successful products for export in recent years. After the season came to an end, the figures on the volume (production and export) were high compared to those of the past five years. According to a trader, Israeli mango producers are taking advantage of their proximity to major markets, their attractive varieties and their good image. In total, some 40,000 tonnes of mangoes have been harvested in Israel, with between 12,000 and 17,500 tonnes being shipped to foreign destinations. The remainder is sold on the domestic market, where mangoes stand in second position in the ranking of most consumed fruits while the season is underway. Israel competes primarily with Spain, so the situation in Latin America has no impact on sales. The largest competitor is the Spanish Austin, which becomes available by the end of the Israeli season. At this time of the campaign, the fruit colouration is not as good, making it the most difficult period for exporters.

The biggest challenges are said to be the growing interest in the boycott movement and the exchange rate, especially when dealing with the EU. Moreover, there are exporters who are concerned about the increasing number of exporters. Last year, there were 16 exporters, according to some, which is not good for the pricing. As long as trading is profitable, however, there shouldn't be any notable changes in this regard.

The season in Egypt ended with a positive mood. A trader reports to be very pleased with the quality of the 12 varieties that are available. The most important varieties are the Keitt and Kent. Demand for mangoes is high in the domestic market, so the fruit is sold easily, especially at hypermarkets. Additionally, there are exports going to the Gulf countries. During the season, several small containers have also been shipped to the United Kingdom as a test.

The production is in the hands of a few large companies, which grow several varieties under license. There are also smaller growers who produce mainly for the local market.

In Europe, this year's mango consumption is estimated at 300,000 tonnes. One in six of these mangoes come from Africa; therefore, there is still room for the African mango to grow in the European market. The vast majority of the fruit is imported from Latin America (460,000 tonnes). Within that category, Peru is the largest supplier, accounting for 70,000 tonnes.

An importer says that the market is currently supplied with Kent and Tommy mangoes from Brazil and Kent mangoes from Peru. According to the trader, the prices are a little too low for this time of the year, but the market should remain stable during Christmas. After that, the importer expects the market to collapse. The supply from Peru will then determine the market conditions. Currently, there are too much air shipments, and especially of the smaller sizes. The availability of large calibres is very limited. When it comes to sea freight, the Kent currently costs between 5.50 and 7 Euro per 4-kilo box. Airfreight prices oscillate between 3.80 and 4.80 Euro per kilo. In recent years, the sales of mangoes shipped by air have increased slightly. There is especially demand for ready-to-eat mangoes.

The mango market is currently characterised by the large supply available. There is plenty of fruit from Brazil and also from Peru, and this is resulting in difficult market conditions. The price for the small to large sizes lies between 5 and 7 Euro. The market is expected to become quieter in January. Compared to last year, the conditions have been stable and there have also been fewer price spikes. There has also been a lot of airfreight.

As the Christmas period approaches, the demand for exotics increases. This is particularly true for exotic fruits like mangoes, avocados and papayas. These exotics have recorded a growing demand in recent years. The supply of mangoes from Peru, according to a trader, has been 30 to 40 percent lower due to drought in the country. The Italian market is looking with an almost envious glance at the position reached by exotic species in countries like Germany, France, the United Kingdom and Portugal. "They are way ahead of us," muses a trader.