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Current Position:Home » News » Marketing & Retail » Food Marketing » Topic

Argentina: Tropicals generate 300 million dollars

Zoom in font  Zoom out font Published: 2016-01-28  Views: 2
Core Tip: Tropical and exotic fruits continue gaining ground in Argentina. The list of such products, which includes mangoes, kiwis, papayas, lychees, blueberries (these alone generate $ 110 million in exports) and other berries, Asian pears or bananas, among other
Tropical and exotic fruits continue gaining ground in Argentina. The list of such products, which includes mangoes, kiwis, papayas, lychees, blueberries (these alone generate $ 110 million in exports) and other berries, Asian pears or bananas, among others, accounts for about 300 million dollars. According to experts, these products reach wholesale values ranging from $ 1 to $ 5 per kilo and of up to $ 10 in retail.

In global terms, 30% of them are exported and domestic consumption does not exceed 5 kilos per person per year.

Domestic production is led by the Argentinian Northwest, followed by the Northeast and the Southeast of Buenos Aires. The idea of producers is to replace imports and meet a growing demand, pushing for a place on the shelves and in the diet of Argentinians. Experts assure that quality and sanitary conditions are optimal. According to INTA, the activity has a strong impact on the economies of the Northwest and Northeast. The combined production of pineapples, papayas, avocados, bananas and mangoes in these regions total 115,350 tonnes.

"In the Northwest, we have 3,500 hectares of bananas, 350 hectares of mangoes, 200 hectares of avocados, 70 hectares of papayas and 25 hectares of passion fruit, all of which are growing crops cultivated by nearly 200 producers in the region," pointed out José Luis Checa, of the Association of Fruit and Vegetable Producers of Salta.

30% of these products are exported. Domestic consumption stands at 5 kilos per person per year.

With the support of INTA Yuto, irrigation consortia, producer associations and the Provincial Agricultural Services Program (Prosap), the sector is growing in the region. "Tropical fruits are generating a considerable amount of labour, since the operations carried out in the plantations are all done manually. The activity is an important tool for the development of the regional economies. Another great advantage of these crops is that they serve to replace imports," stated Checa.

In Argentina, blueberries, kiwis and some other tropical fruits have entered a period of expansion, according to INTA. While blueberries are export oriented, kiwis are mainly intended for the domestic market. Bananas and mangoes are the major tropical crops in a chain in which small producers and family businesses, with limited access to technology, predominate.

Enrique Sánchez, coordinator of INTA's National Fruit Program, said that "tropical crops have the chance to expand if we manage to work in a regional strategic plan, with support from both the national and provincial governments."

Argentina's kiwi production is one of the most profitable and with the most growth potential. While the acreage has doubled in the last decade, about 60% of the fruit consumed is still imported. There are currently about 800 hectares of kiwi plantations, of which about 50% are located in the southeast of the province of Buenos Aires.

In 2012, the Association of Kiwi Producers of Mar del Plata was created in partnership with INTA and, in recent years, the entity has made it possible to adjust the harvest rates, to extend the period of storage to 6 months (to be able to compete with Italian kiwis in the off-season), to reduce losses and to improve the quality. While the production currently aims to supply the local market, "there is huge demand at global level and thus great chances for growth," affirmed Alejandra Yommi, of INTA.

As for blueberries, after a crisis that brought production volumes down, the acreage, which at the beginning of the decade stood at 400 hectares, has now reached 2,600 hectares. The main growing areas are in Buenos Aires, Entre Rios and Tucuman, which concentrate more than 90% of the acreage nationwide. According to the Association of Blueberry Producers of the Argentinian Mesopotamia, the 2014 cycle closed with 16,500 tonnes (a 30% increase compared to the previous one) worth 110 million dollars.

For María Fernanda Rivadeneira, of INTA Concordia, Entre Rios, the crop ceased to be just an alternative and consolidated in the region. "The Northeast accounts for about 50% of the exported volume and 35% of the acreage," she affirmed. According to the 2014 census of the Blueberry Producers Association of Tucuman, which estimated the acreage at 1,026 hectares, the province has surpassed Entre Rios and positioned itself as Argentina's largest producer.

Frutasia is one of these innovative companies devoted to the production and marketing of exotic fruits. It is located in the province of Formosa, in the municipality of Naick Neck, where it produces fruits originally from places like Singapore, Taiwan, Fiji, China, India, New Zealand and other Asian countries in a total of 100 hectares.

Sian Cheng Yue (called José by his friends) and his family are based 150 kilometres from the Formosa capital. In 2000, with an initial investment of 500,000 dollars, they decided to cultivate mango, guava, papaya, lychee, star fruit (or carambola fruit), dragon fruit, passion fruit, seedless watermelon, lime and jack fruit. The "darling" of Frutasia are mangoes.

"Everything is shipped to Buenos Aires and arrives to grocery stores, hotels and restaurants," states Cheng, who 25 years ago arrived from his native Taiwan and settled in Argentina. These products are also exported to Japan, Taiwan, Germany, France, Spain and Switzerland. Furthermore, they obtain added value from them with their processing into juices and sweets.

Julio Babiez is one of the pioneers in the cultivation of these crops in the Northwest. Together with his son Sebastián, he has been in charge of 130 hectares of mangoes in Orán for the past 15 years. They also run 250 hectares of bananas and between 4 and 5 hectares of papayas.

Regarding papayas, he said "they are easy to produce, with a very good profitability, a growing demand and little need for insecticides or other such products, because there are very few diseases."
 
 
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