Market competition challenges Australian citrus growers
Competition from Peru, Chile and South Africa has Australian citrus growers fighting for market share, according to the Australian Broadcasting Co.’s abc.net.au.
The nation’s citrus industry also said at a conference this week the weak U.S. dollar makes the situation harder.
Australia historically had great access to the southern United States, said Citrus Australia Chairwoman Tania Chapman, according to the website. But exports from other Southern Hemisphere producer countries has changed the market.
“Due to recent heavy competition, which is increasing every year from Peru and Chile and South Africa, it is becoming a harder market for us,” Chapman is quoted as saying. “And the higher the exchange rate, obviously the harder it is.”
In other food sectors, the exchange rate is forcing consideration of lowering prices.
When the cherry and stonefruit harvest begins in earnest, the Australian dollar’s 28-year high against the U.S. dollar will be a factor, said exporter David Minnis, according to the website.
“When we start quoting for cherries and stonefruit, they'll soon be aware of how high we are,” he is quoted as saying. “It's a matter of us trying to get prices that are workable for them and workable for our growers”