Uruguay turns focus to international citrus branding - FreshFruitPortal.com

Uruguay turns focus to international citrus branding

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Uruguay turns focus to international citrus branding

It took 20 years for the U.S. to approve citrus from Uruguay, Latin America's second top citrus exporter. Now, following market approval earlier this year, the nation is working to promote its national brand "Uruguay Natural".oranges_68643514

In a conversation with www.freshfruitportal.com, Uruguayan Ministry of Agriculture (MGAP) adviser Federico Montes said authorities are still waiting on comments from the public consultation launched in February to help define the specifics of U.S. market access.

Once the  commenting period has closed in April, Montes said there will likely be a 30-day extension by the U.S. Department of Agriculture.

"I think a few months will pass, maybe until June, where both countries will comment and make objections that we might have. Mid-year we may see the possibility of entering the U.S," Montes said.

"If we do make it in for 2013, this will be a test and adjustment year, since we have to comply with the container cold treatment protocol and currently, Uruguay does not do that. Other markets do not ask for it."

According to the MGAP adviser, Uruguay currently has 17,000 Ha of citrus crops. While the sector may not be as profitable as other star industries like milk and meat, Montes explained that fruit production provides social value and work opportunities. The citrus sector currently offers 15,000 work positions for the nation of about 3 million inhabitants.

The top spot for Uruguayan citrus output is taken by Valencia oranges, followed by smaller quantities of navel oranges and lemons.

In 2012, Uruguay produced 320,000 tons (MT) of citrus fruit, 50% to 60% of which went to the European Union and Russia.

According to Montes, this year's production should drop 15% to 20% compared to 2012 due mainly to March frost damage. He did, however, expect better quality this year.

Market positioning

For Montes, the U.S. market is part of greater national project that seeks to diversify product possibilities. Strengthening the national brand "Uruguay Natural" is a main exporter objective, including for the fruit sector.

"We are aware that U.S. consumer tastes are different from a European or Russian consumer, so we are trying to identify which market is best suited to the product," he said.

"It is very difficult to talk about expected U.S. volumes but the volumes will be gradual. Uruguayan citrus has 40 years of experience and a strong place in the European Union. The U.S. will expand our market spectrum."

Montes added that recently Uruguayan citrus went on a commercial tour of Germany and Russia where the South American nation hopes to gain ground using its national label.

"'Uruguay Natural' is an identifier and symbol of our country that sets us apart from the rest. It is an umbrella reference that shows product and service quality," Montes said.

"There was good reception to the label in Germany and it is likely European clients will begin asking for the product to come with that brand."

Montes said the goal is to set Uruguayan products apart based on their value, quality, safety and traceability.

Blueberries and deciduous fruits in international markets

Through the country's new fruit marketing strategy, Uruguay is building up other sectors too like blueberries, apples and pears. The first shipments have already been sent to the U.S. and Europe, where Montes said there has been great reception.

For deciduous fruits, he said export has been nascent but he had his hopes out for markets like Brazil and Europe.

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