Low prices and a small harvest mark the beginning of the citrus season in Castellón.

Spain
Thursday, October 17, 2024

Despite reduced international competition and rising prices at origin, limited production and high temperatures are slowing down the campaign, raising concerns about the future impact on Egyptian exports.

The citrus campaign in Castellón (Spain) has started with good prices and less international competition, although the pace is slow due to a low harvest, according to the region's agricultural organizations. Imports of small citrus fruits from third countries decreased by 1.5% in September, while orange imports decreased by 21%, which would normally boost demand. However, limited production has restricted this positive effect.


Early varieties are currently being harvested, and the harvest of Clemenules, the most important, will begin in November. Carles Peris, Secretary General of La Unió Llauradora, explains that production has not reached the levels expected by the Ministry of Agriculture, which prevents fulfilling all orders and slows down the campaign.


The first harvests have been lower than expected, especially for the Marisol variety. Despite this, demand remains strong, as in previous years, which has generated an increase in prices at origin. For example, Clemenrubí is selling for €0.70 per kilo and Marisol for €0.40, while prices are also rising in markets like Mercabarna and Mercamadrid.


High temperatures have delayed fruit ripening and, together with the low harvest, have affected sales. Furthermore, Clemenules production could fall by 23%, according to official forecasts, which could worsen the situation in the coming weeks.


Adverse weather conditions in the Southern Hemisphere have also affected production, causing a drop in European citrus imports in September. South Africa, the main supplier of oranges to the EU, has reduced its shipments, although it has managed to increase its market share. On the other hand, competition from countries such as Argentina, Peru, Zimbabwe, and Morocco has decreased due to climatic factors. However, the local sector fears that Egypt will increase its exports in the second half of the campaign, as it did last year, which could distort the market and harm production in Castellón and the rest of the Valencian Community.