South African avocado exporters have noticed an improvement in European prices following Peru's phytosanitary success with U.S. authorities.

South African Avocado Growers’ Association CEO Derek Donkin told www.freshfruitportal.com speculation has already begun, while the changed dynamics could make Europe more attractive for Chilean and Mexican exporters.

"The sentiment in Europe is upbeat in terms of price as they’re foreseeing a shortage now that Peru is going to the USA," he says.

"Chile and Mexico will obviously be making shipments as the European market will be more attractive, but that depends on what the price is like in the USA.

"If Peru is shipping 100 containers or 2,000 (metric) tons into the U.S. each week for the next month, that would probably shift prices."

He says South Africa's shipments will likely come to a close in early September, which is about a month earlier than usual due to damaged crops late last year.

The South African industry expects total shipments of around seven million cartons for the season, while Donkin hope an improvement will be seen with the next year's crop.

"All things being equal and if climatic conditions are kind to us during flowering time in the next three months, we would export a bigger crop next year, and if Peru has access to the U.S. then that takes pressure off us. It’s good for Peru and it’s good for South Africa."

Peru's expected shipments

The Peruvian Hass Avocado Producers and Exporters Association expects to ship 500 containers of the fruit to the U.S. this year, website Agronegociosperu.org reported.

The association's general manager Arturo Medina told the website Peru would ship half of its volumes to the North American country in the future.

Peru will likely ship between 60 and 70 this week, while last week the first container without cold treatment left an Agrokasa packing house, the story reported.

Related stories: Peru: Camposol expects U.S. avocado shipments soon

U.S. makes Peruvian avocado entry without cold treatment official

South African avocado crop falls 40%

Photo: South African Avocado Growers' Association

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