With the exception of Sweden, the stonefruit market is quiet in Europe. The fruit is perceived as a summer product and consumption consequently falls under the influence of the wintry weather. Only in Sweden have plums, peaches and nectarines partly managed to shake off that image. Italian growers are worried because, despite the declining acreage, prices remain low. Israeli growers are investing to fill the gap in the European market early and late in the season. In China, investments are also considerable and domestic crops could become a competitor for imports. The demand for cherries peaks around the Chinese New Year. In the US and Canada, they are hoping for a good season after a campaign with smaller volumes than last year.
Chinese crops competing against imports
The Chinese peach production is estimated to account for half of global production. This year's production is expected to grow. In addition to the domestic production, stonefruit is also imported. Plums are usually imported from the US, Taiwan, New Zealand and Chile. Last year, the country opened its borders to Spanish peaches and nectarines and Australian nectarines. Ahead of the Chinese New Year, Spain, Chile and Australia are competing on the import markets of Guangzhou and Shanghai. There is hardly any export of domestic crops due to the limited amount of refrigerated facilities. The bulk of the exports go to Russia and Vietnam.
Cherry imports make plum, peach and nectarine imports insignificant in comparison. Imports come mainly from Chile, New Zealand and Australia around the Chinese New Year. In the summer, there is also fruit imported from the US and Canada. Chile accounts for 80% of the shipments. In recent years, imports have increased sharply, but the competitiveness of domestic crops could increase. In fact, the quality of domestic cherries is improving. The Chinese market has a strong demand for good quality cherries. The domestic cherry production is expected to grow by 30%. The provinces of Shandong, Hebei and Henan are the main stonefruit production areas. On the domestic market, the cherries from Yantai, in Shandong, are the most popular. The local government has taken measures to promote greenhouse cherry cultivation.
US and Canada hope for better season
The Chilean import season is over. An importer says that the supply was smaller, as the weather took a toll on the crops in Chile. The impact of this was also noticeable in the US. Abnormal temperatures in California and Washington affected the crop. Early in the season it was hot, and the season ended with rain, which damaged the crops. Across the border, in Canada, the cherry production did not fare better. The harvest kicked off four to five weeks earlier, and although the calibres were large, the yield was low; therefore, the export volume has declined in recent years. For the upcoming season, producers expect normal volumes.
Mid-April marks the start of the season in California. This is expected to be a good year. Investments have been made in sorting and packaging. This is necessary, because more and more countries are gaining access to the Chinese market, according to an exporter; therefore, competition in the Far East is becoming fiercer.
Israel aims for early exports
Israeli stonefruit is mainly sold on the domestic market, where it is an important product when in-season. The consumption stands at 100,000 tonnes per year. That figure has increased in recent years. Peaches and nectarines are the most popular, accounting for roughly half of the volume marketed, followed by plums and apricots.
The bulk of the production takes place in the north of the country, where the climate is cooler and more suitable for commercial cultivation. Thanks to the mild climate, the harvest season lasts longer. The harvest season starts in mid-April and comes to an end in December. The country has 8,000 hectares and another 200 hectares are expected to become productive in the coming years. Most of this acreage corresponds to peaches and nectarines.
The long season makes it possible to export to Europe, especially early and late in the campaign. Exports have increased in recent years. The new plantings are focused on the early season, when prices are high. During the peak season, apricots yield on average of 4 to 5 Euro per kilo; plums oscillate between 5 and 6 Euro per kilo and peaches and nectarines generated between 1.50 and 3 Euro per kilo.
Netherlands
If the situation on the Southern Hemisphere is related to the El Nino phenomena from last year, we don't know, but everything is advance compared to a normal season. In the case of plums, a lot of early varieties during december, all came together and collide with early sapphire as well. Now, crops are more stable and in line with “normal” calendars, but estimations reamins optimistic and should be the same volume as per last year, even finishing end of March. People in South Africa are talking about small size angelenos, which could affect their export plans and expectations.
The demand is normal, but interest is increasing year by year, which impacts on prices as well. Even compared to last year, there has been no crash on the prices.
Although prices didn’t dropped dramatically, it is not like last year. With an average of 7.00 (A) – 8.00 (AA) and 10.00 (AAA) for red plums. Yellows are 1 – 2 euros higher. A couple of receivers are suffering with some varieties as sapphire, offering at 5.00 euros, which is n't good. Next two weeks price should lift a bit, maybe one euro and remain stable. The demand and supply is expected to remain constant.
Special varieties are becoming a trend. South Africa is working in new varieties and putting a lot of power in order to replace old “bitter” varieties for “eatable” varieties.
Belgium: Stonefruit remains a summer fruit
The South African apricots, peaches and nectarines had a better year than last year. The plum market had a good start, but the results worsened later in the season. A trader says that there is little supply of large calibres (AAA), which is why a "fair price" is paid for those products. The supply of smaller calibres is greater and their price is consequently lower.
In any case, stonefruit is still perceived as a summer fruit. Consumption is highly dependent on the weather and the wintry temperatures of the past few weeks have caused the consumption to fall. Normally, demand in southern European countries is therefore better, but this year, as a result of the cold snap that also hit Spain, the demand there has fallen.
Italian sector depressed
The Italian stonefruit sector is currently in hibernation. This applies to both open ground crops and tunnel cultivation. At the end of last year, peach and nectarine producers in Emilia-Romagna received 20 to 25 cents less per kilo than initially expected. "We cannot say we are satisfied, because the prices have been very low," states a grower. "Many say that the prices were higher than in 2015, but that was also a bad year."
The low prices, even for the top products in the market, have not been accepted cheerfully. In a context of declining acreage, the sector is depressed. There is talk about an acreage decrease of 30% in Italy and Spain. In the past, profits were higher and companies could build a buffer to get through the difficult years. This year's results, however, have led many to break even. As regards exports, there is also a lack of good news. Despite the higher volume of Angeleno plums, the demand from the US didn't increase, so more plums had to be sold on the European market.
Sweden: Stonefruit gradually perceived as not just a summer fruit
A lower supply and quality problems have resulted in higher apple and pear prices in Sweden. This applies to imports from suppliers such as South Tyrol, the Netherlands and Belgium. The stonefruit category, however, seems to be benefiting from this. In recent weeks, stonefruit has enjoyed good market conditions. Demand has increased and the quality is good. That's an improvement compared to last year, when the market was slow. A trader says that the small supply of vegetables due to the wintry weather has probably had a positive influence, as supermarkets have been searching for alternative products to fill the shelves.
To guarantee a stable supply, an importer affirms that they do not import directly, but via the Netherlands. This allows the company to bring in smaller volumes, and the stonefruit is thus fresher when it hits the market. In the winter months, Swedish consumers also like to have access to a wide range of stonefruit of different colours and varieties. Since the quality of the fruit has improved in recent years, stonefruit has managed to shake off its image of just a summer fruit.
