According to Maryan Safi de Aguilar, manager of the Panafruit SA packaging plant, in 2024, the Panamanian papaya market faced weather issues that reduced supply and raised prices in the US. At the same time, the demand for green papaya in the US Asian community is growing and the preference for mixed containers is increasing. Exporting to Europe continues to be a logistical challenge due to the product's shelf life.
Despite the obstacles, Panafruit SA managed to overcome the 2023 results, stressed Safi de Aguilar.
"The end of 2024 was marked by heavy rains in Panama and Costa Rica, which affected papaya production as the humidity reduced its quality. The price increased a lot because the shortage affected the main suppliers in the US. The weather conditions pushed prices up by up to 10%, but we had to suspend operations in December because of the high level of rejection due to the presence of fungi," Maryan stated.
"In 2024, Panafruit exported 12 to 15 containers of papaya per month. In 2025, the company expects to increase exports by 25% shipping 15 to 18 containers per month. Production is maintained throughout the year with staggered plantings, allowing a constant supply for international markets, mainly the US. We expect the weather will improve significantly as summer arrives in Panama. This means we'll have about six months of sunshine, helping control pests and improving conditions for production," she added.
"Producers have explored diversifying their crops, including pumpkin, malanga, and cassava to address these challenges. Incorporating these products has enabled them to discover new opportunities in international markets. The recent establishment of Premium Tropical Exports in Chitré, Panama, has made it easier to export mixed containers containing pumpkin and malanga, adapting to the current demand in the US. We are assessing the performance of these crops and monitoring their market acceptance, while also continuing to produce papaya," Maryan pointed out.
"The US continues to be Panafruit's main export destination with a consolidated presence in Miami and expansion plans to Los Angeles and New York. In addition, a growing demand for green papaya has been identified in the Asian community. It is used a lot in their cuisine and we are expanding shipments," she said.
One of the main challenges in exporting papaya to Europe is logistics, as maritime transport does not adequately preserve the quality of the product due to its short shelf life. Thus, exports to this market have depended on air shipments, which are more expensive but guarantee freshness and reduce losses due to deterioration.
The papaya market faces strong competition, especially from Brazil. "To stay in the market, producers in Panama are betting on quality improvements and the development of varieties that are more resistant to pests and have a longer shelf life. We are focusing on improving the firmness of the fruit and adapting to the market's changing requirements," the manager stated. These strategies aim to guarantee a more competitive product and reduce losses in the distribution chain.
For more information:
Maryan Safi de Aguilar
Panafruit S. A.
Tel: +507 62938697
Email: maryan.safi@panafruit.com.pa
www.panafruit.com.pa