Peruvian mango exports to drop by three-quarters in 2023-24
Peruvian mango exports have been severely affected by climate conditions, with a huge year-on-year drop expected this year.
The Peruvian Association of Mango Producers and Exports (APEM) forecasts that volumes will fall by 76% this season to 60,000 tons.
In the 2022-23 season, the country reported export volumes of 250,000 tons, the fourth consecutive increase for the fruit.
The drop in export volumes has caused prices to surge, even double the price of last season for fruit transported by air.
“Production in the San Lorenzo Valley, and pretty much every growing region was very affected by rains during March and April,” Ivan Vilches, president of APEM tells FreshFruitPortal.com.
Pricing is up
A lower supply in mango markets generates a rise in prices, says Angel Gamarra, president of Promango.
"Sales prices are good because the supply is low and the market, especially of mangos that go by air, is almost doubling prices," says Gamarra.
Vilches explains that for some companies, like Dominus, 95% of operations are by sea, "we are seeing an increase in raw material prices, but we hope that prices at destination go at par with the raw material today, with very little supply. We have seen prices 10 times higher than last year.”
Peruvians are hoping that with Mexico’s export window starting between March and April, prices will remain competitive so that they can compensate for the drop in volumes.
Regarding the U.S. market, Viches says, "We have good expectations that the market will accept the prices based on low supply, I think there are good expectations in all markets, we are confident that the markets will respond positively to the situation.”
On the other hand, Gamarra indicates that markets that get the fruit by air such as Spain, France, Italy, Korea, and Japan maintain a price that covers export costs and some profit for producers.
"Maritime exports to the United States are just starting, but it seems the market will also respond because the raw material is being sold at a good price. Forecasts indicate that the main market will be the U.S. because Europe will have some Brazilian mangos," says Gamarra.
"We had originally estimated to export to the U.S. approximately 8 million boxes, but I think we are going to stay at 5 million boxes," says the president of ProMango.