Chilean green grape volumes should rise in March
Chile
Tuesday 24 February 2009
Importers of Chilean grapes look forward to more aggressive promotions and rapid movement of large, high-quality fruit.
Following a lull in the first half of February as flame shipments from Chile wound down, Anthony Stetson, vice president of sales for Pandol Bros. Inc., Delano, Calif., expected strong movement of green varieties as volumes pick up.
“The next three or four weeks we’ll see a lot of good green (shipments),” Stetson said Feb. 16. Prices should stay in the US$16-18 range, permitting abundant promotions and movement, Stetson said.
Quality on both green and red varieties from Chile this year has been “spectacular,” said Omar Abu-Ghazaleh, imports manager for Pacific Trellis Fruit, Reedley, Calif.
“Demand has been very, very good,” he said. “It’s been all about the quality.”
So far, this season’s Chilean market has been a pleasant surprise, said Josh Leichter, grape category director for Vancouver, British Columbia-based The Oppenheimer Group.
“Movement has been good — better than expected, given the economic conditions,” he said. “Retailers have really gotten behind product.”
A steadier flow of product from Chile, in contrast to the peaks-and-valleys quality of last year’s deal, also has been beneficial, Leichter said. Pricing should be steady through mid-March, Leichter said.
Markets for green grapes from Chile would likely drop US$2-4 as volumes increase, Abu-Ghazaleh said. Counterbalancing that, are markets that, in mid-February, were about US$2-4 higher on average than last year at the same time, he said.
Red markets should remain firm heading into March, because of lower volumes, Abu-Ghazaleh said. Overall, red volumes from Chile are expected to be slightly down for Pacific Trellis this year, while green volumes should be about normal.
Sizing would likely tilt heavily toward larges and extra-larges heading into March, importers said.
By the end of March, shipments of the next major red variety — crimsons — should begin arriving from Chile in volume, Stetson said.