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Brazil’s growers target Middle East, China as potential fruit-buying markets

Oct, 06, 2022 Posted by Gabriel Malheiros

Week 202240

The Middle East and China are being targeted as Brazil’s next largest fruit-buying markets explored by Ceará fruit growers in the coming years. The prediction was given by the port business manager of the Pecém Industrial and Port Complex, Raul Viana, who is participating in Fruit Attraction 2022, in Madrid, Spain.

According to Viana, gaining access to the Chinese market, which still depends on transporting fruits by plane, should only be a reality in the long term. Viana explained that there is still no technology to transport fruits as fast as needed through the sea. In addition, there are currently no ways to make the trip using the fruit refrigeration and canning equipment available today.

Despite the difficulties, the Chinese market is diagnosed as having excellent business potential for local companies.

“[China] is a market that has yet to be explored but still hinges on new technologies. There were barriers impeding China and Brazil from negotiating the entry of fruits, and we were not allowed to export melons. However, there is no maritime line available to bring fruits to Chinese markets in the fruit’s shelf life,” he explained.

Middle East

On the other hand, fruit exports to the Middle East should bring more tangible results in the next few years, based on negotiations related to goods transport services.

Recently, Pecém resumed the fruit export service to ports in the Mediterranean Sea, operated by MSC (Mediterranean Shipping Company).

The line takes products from Ceará (and from other states in the Northeast) to cities in Italy and Spain, and from Barcelona, the goods may be taken to Middle Eastern countries.

During the event in Madrid, despite market constraints, Viana hopes deals can be closed, and the fruits from Ceará can reach ports in the Middle East.

“We mapped out excellent prospects during the fair and have been following them since April when we participated at Fruit Logística. We have been closely watching inflation in Europe, but this is not hindering the export and consumption of melon. We also export grapes and mango from other regions of the Northeast,” said Viana.

“We also have a perspective of increasing exports because we have a perspective of being able to enter the Middle East market based on the services we already have,” he added.

Port performance

Despite the possible opening of new markets, Pecém should end the 2022 harvest period with stable numbers in terms of volume and values, with only a slight increase.

See below the track record of Brazilian fruit exports via Pecém. The data is from DataLiner.

Brazilian fruit exports via Pecém | Jan 2021 – Aug 2022 | TEUs

Fonte: DataLiner (clique aqui para solicitar uma demonstração) 

Viana explained that the imbalance of production chains and the price of freight still generates many impacts for exporting companies and for the results of the Port of Pecém.

However, he pointed out that freight prices have been dropping in recent months, and the scenario can help boost the export market.

“We may see a slight increase or plain stability in fruit movement as a result of challenges outside of the port, such as the pandemic and the conflict in Ukraine,” he observed.

“Wheat and everything else increased, freight rates were much higher a year ago than they are now, and we have seen an even smaller reduction than we did during the pandemic. Large consultancies predict a decrease in freight costs, and we are preparing to accompany these movements to assist producers,” Viana added.

Diário do Nordeste

Para ler o artigo original completo, acesse: https://diariodonordeste.verdesmares.com.br/opiniao/colunistas/samuel-quintela/oriente-medio-e-china-devem-ser-os-novos-mercados-para-exportacao-de-frutas-do-ceara-1.3286105

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