Costa Rica's pineapple industry, encompassing both fresh and Individually Quick Frozen (IQF) products, is navigating supply constraints, logistical challenges, and evolving market conditions. Adverse weather has impacted production, affecting yields and harvest cycles. Exporters in both fresh and frozen sectors report difficulties in meeting demand, especially in maintaining consistent quality and sizing.
The Expana Benchmark Price (EBP) for IQF pineapple chunks is currently $1.17 per pound, a 33% rise from last year. Similarly, IQF pineapple tidbits are priced at $1.13 per pound, reflecting a 41% increase. Market participants note these price hikes are due to supply shortages and increased demand in both fresh and processed markets.
A key market driver is the juice industry's rising demand, consuming a substantial portion of available fruit. Smaller pineapples, previously destined for IQF or fresh exports, are now diverted to juice processors who offer premium prices, often surpassing fresh market offers. This internal competition is tightening supply across all segments, as noted by Expana market participants, particularly affecting IQF producers dependent on steady raw material volumes for processing.
The shift towards juice production has led to price increases in Costa Rica. Exporters observe that both fresh and IQF pineapples are experiencing higher input costs and limited availability, causing disruptions in supply chains and contract fulfillment.
Source: Mintec/Expana