Members of the industry and exporters see this as a great opportunity to test out the system and see how it could be implemented in other regions of the country, as well as other export markets like the U.S.
The USDA report notes a declining trend in the table grape planting area due to long-term economic challenges, including increased international competition and low prices for traditional grape varieties.
Spot banana business out of Ecuador and the specialized reefer-centric Chilean grape season are especially vulnerable to the delays.
After 20 years of work the Systems Approach has been authorized by the technical organizations of both the U.S. and Chile, it now awaits publication in the Federal Register by the USDA.
For the upcoming 2023-24 term, the U.S. is projected to take 56% of overall shipments, with Asia and Europe following with a 19% and 16% share, respectively.
We spoke with Andrés Rodríguez, agricultural attaché of the Chilean embassy in the U.S. about negotiations on the approval of the Systems Approach for Chilean table grapes, which has once again been held up for political reasons.
No official communications from either government have confirmed approval for the new protocol, putting producers and exporters, who had prepared for a season with this new mechanism, in a complex situation.
The U.S. is the largest destination market for both Chile and Peru, with shipments representing 49% and 46% of total exports for each country, respectively.
The ability to respond to the changes in consumer trends and preferences in northern markets led the sector’s success, with varietal change to seedless grapes and patented cultivars playing an important role.
The drop can be attributed to multiple factors, including a decrease in the area dedicated to table grape cultivation and unfavorable climatic conditions in the central region of the country, which have adversely affected yields.