Europe risks experiencing an oversupply of Indian grapes

European markets will receive ships that have been stranded at the Suez Canal for nearly a week as well as ships that left India later. Indian exporters fear that the supply of grapes is in excess of demand from these markets.

 

 

 

In India, mainly in the region of Nashik, in the north of the state of Maharashtra, each year, the 2 months between February 15 and April 15 are considered the peak season for exporting to Europe. But this year due to the blockade of the Suez Canal for almost a week, Indian exporters fear difficulties due to a possible oversupply.

 

 

 

The ships stranded at the Suez Canal for almost a week will arrive in Europe while the following ships from India will also disembark there, which will result in an excess supply compared to demand.

 

 

 

“Every week, 800-900 containers leave from Nashik and Sangli to Europe, but mainly from Nashik. Due to the situation in Suez, around 800 containers could not be shipped, another 800 containers were shipped. 1,600 containers can reach the European market at the same time "said Vilas Shinde, director of Sahyadri Farms Nashik and exporter of grapes.

 

 

 

These volumes risk lowering the price, according to Indian professionals, some of whom have canceled departures to Europe for shipments to other markets such as Dubai and Bangladesh.

 

 

 

Indian grapes are sent mainly to the port of Rotterdam (the Netherlands) which is an important distribution center for Europe. Ships leaving Suez still have 10 travel days to reach Rotterdam.