Last year, the Peruvian table grape industry faced a challenging season as northern regions experienced low productivity due to climatic issues. However, Ica, in the south, performed well, partly because of climatic challenges in California.
For the 2024-2025 season, will Peru return to the recent trend of high volume and low prices? Has the country reached a production ceiling for table grapes?
For Manuel Yzaga Dibós, president of the Peruvian Association of Table Grape Producers (Provid) and CEO of Vanguard Group International,
"It is not accurate to reduce the events of an entire campaign, week by week, to simply high volume and low price. Indeed, there will be greater volume than last season, but what is clear is that the markets need consistency of supply; if we offer something they expect us to deliver it. We are talking about consumer confidence."
But does the president of Provid know how much more volume there will be compared to last season? Yzaga answers: "Not yet. In the following weeks, we will start the projection work. It is still very early.
In any case, he insists that companies must strengthen their confidence in foreign markets. How can this be achieved? "By complying with quality, fruit characteristics, and volume. In this way, price drops are mitigated. If the markets receive what they expected, with no surprises, there can be a good sales job."
"It's a matter of planning well, conducting thorough follow-up, maintaining daily control, and complying," he says, adding that it is currently impossible to forecast prices as the campaign is just beginning.
"Besides, each container will have a price related to its quality and conditions. Better not to guess, better to work responsibly," he adds.
As to whether Peru has reached a production ceiling for table grapes, the CEO of Vanguard Group International assures that this will end up being defined by the markets.
"At the beginning, nobody imagined that we would get close to the level of 70 million boxes (equivalent to 8.2kg). The production ceiling will be defined by the people who consume our grapes in the world; they are the ones who will allow or not our growth," he says.
Farewell to traditional varieties, how to define the future of international grape competition for Peru, are there more competitors than before, and what should be the strategy of Peruvian producers in this situation? Yzaga answers: "As a trade association we see that international competition is changing, directly related to the climate and dependent on market acceptance. Origins that do not achieve the quality that the markets demand, origins that do not achieve returns that allow them to cover their costs and be profitable, will go backward. Peruvians must continue to focus on quality. Only quality will allow that differentiation that we are recognized today".
Quality characteristics, says Yzaga Dibós, are determined by each market. "There is no one quality for everyone. New varieties help to meet certain required characteristics, but each season is different."
What is the future of the new varieties nowadays, and is there still room for traditional varieties in Peru, taking into account that last year the productivity of traditional varieties was affected by climatic issues? We see that there is less and less room for traditional varieties, and the exception will continue to be Red Globe in certain weeks".
Can the recent varietal change impact an increase in production in the coming years? Is that a good thing? "Yes, the change to new varieties brings us closer to a greater productive potential. It is good for the country as long as producers have enough margin to operate. We must always be attentive to changes and prepared to face any challenge that comes our way, and always analyzing the future, is key."
