Exports are expected to remain nearly unchanged at 3.7 million tons, with greater shipments coming from Chile and China making up for losses from Turkey and the U.S.
Grape producers and exporters worldwide have experienced a process of change and stress marked by climatic factors, the Covid-19 pandemic, logistical issues in origin and destination, and the cultivation of new varieties that have not achieved expected results.
While table grapes as a category are moving forward with greatly improved varieties on offer, the sector has not been without challenges. Severe and erratic weather events around the world have impacted California and Peruvian volumes.
This season’s production volume would represent the third-highest export result on record of 140,000 metric tons.
The USDA report notes a declining trend in the table grape planting area due to long-term economic challenges, including increased international competition and low prices for traditional grape varieties.
The California industry is encouraging USDA Secretary of Agriculture Tom Vilsack to permanently abandon approval, deeming it a "risky proposal".
With tighter supplies from California and Peru, the sector remains optimistic as it projects a 5.2% volume increase year-on-year.
"U.S. producers do not want this system to be implemented and the fact that Chilean importers want it should hold no weight for the USDA," says the President of the California Table Grape Commission, Kathleen Nave.
Spot banana business out of Ecuador and the specialized reefer-centric Chilean grape season are especially vulnerable to the delays.
After 20 years of work the Systems Approach has been authorized by the technical organizations of both the U.S. and Chile, it now awaits publication in the Federal Register by the USDA.