tomatoes

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The Russian embargo and Turkey’s fruit and vegetable exports

In 2014, 43% of all the volume of tomatoes exported from Turkey went to Russia (336,000 tons).

Since January 2015, Turkey had exported to Russia food valued at $1 billion, or 4% of all Russia’s food imports, according to Russian Customs statistics.

The leading export products were tomatoes (292,800 t) and citrus fruit. Russia also imported grapes (68,000 t), peaches (26,000 t), apricots (28,800 t) and other fruit.

During the fruit season, the share of some Turkish products (for example, citrus) reached 50%.

In 2014, 43% of all the volume of tomatoes exported from Turkey went to Russia (336,000 tons).

“We can substitute Turkish tomatoes with those from Iran, Morocco, Israel, Azerbaijan and Tajikistan,” said Aleksander Tkachev, Russian Minister of Agriculture.

As for Turkish citrus fruit (250,000 tons imported in 2014), they can be substituted by ones from the RSA, Morocco, China, Argentina, Israel, Abkhazia and Georgia, he said.

It is possible that the embargo for Turkish tomatoes, in particular, will lead to price rises; however it is unlikely that the prices will be higher than last winter. In January 2015, 1 kg of tomatoes cost about $3; if it costs more, the demand will slump.

The government has ordered the Ministries of Trade and Agriculture to track price trends; and the Ministry of Agriculture to see how it can support Russian producers.

At the same time, the embargo does not extend to some specific products, such as lemons, lettuce, figs, etc.

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Spanish concerns about EU imports of Moroccan tomatoes

Spanish tomato growers have stressed the importance of separate minimum entry prices for round and cherry tomatoes entering the EU market.

Spanish tomato growers have stressed the importance of separate minimum entry prices for round and cherry tomatoes entering the EU market.

Fepex – the Spanish federation of associations of producers and exporters of fruit, vegetables, flowers and live plants – said having just one value for all types of tomatoes makes it difficult to rigorously monitor the market and implement safeguard clauses in trade agreements when necessary. Cherry tomato prices can be up to four times that of round tomatoes.

In a press release, Fepex said that entry prices for tomatoes from Morocco will be one of the main issues on the agenda at the next meeting of the European Commission’s tomato forecast working group, to be held Thursday June 4.

It said that at the meeting it will also propose that the Commission set a market withdrawal price for cherry tomatoes separate to and higher than the current one for tomatoes in general – €18.30/100kg – because this amount is “clearly insufficient to manage market crises in this segment, which endures strong competition from Moroccan imports.” Fepex said that last year farmgate prices for Spanish tomato growers were down 14.5% on the previous year.

Commission sees no signs of market disturbances

In February, the Commission said it closely monitors quota limits for preferential access conditions for tomato imports from Morocco under the bilateral agricultural trade agreement with that country.

“Based on surveillance data from the national customs authorities, imports in October 2014 were 23.4% higher than in October 2013; whilst in November 2014 imports exceeded by 13.5% those of November 2013. Volumes imported under preferential conditions are within the thresholds set by the agreement.

“Member States have reported a positive trend for the prices of tomatoes produced in the EU since August 2014. The EU average price currently remains above the average prices of the last three years. The Commission does not have any evidence of serious market disturbances which would justify applying the safeguard measure foreseen in the Agreement,“ said Agriculture Commissioner Phil Hogan in reply to a written question from Spanish MEP Gabriel Mato.

Mato had asked if the Commission was considering taking action to avoid upsets to the EU market that might be caused by the increase in Moroccan tomato imports.

“This increase in imports threatens the market access of tomatoes grown in Spain, France and Italy due to the fact that, in those countries, farming is subject to much stricter social and food safety conditions than are in place in Morocco, placing farmers in those countries at a clear disadvantage,” Mato had written.

Sources:
Fepex
Parliamentary question
Graph & table

Background: Commission statement on tomato import rules

 

 

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Foul weather dampens Del Monte’s Q1 profit

Fresh Del Monte Produce Inc has cited higher banana procurement costs, lower pineapple yields, and tomato and grape quality issues – caused by adverse weather – as factors which reduced its first quarter earnings.

Fresh Del Monte Produce Inc has cited higher banana procurement costs, lower pineapple yields, and tomato and grape quality issues – caused by adverse weather – as factors which reduced its first quarter earnings.

The Florida-based fresh produce multinational reported on Monday that its gross profit was $100.4 million and operating income $56.3 million in the quarter to March 27, down from $106.7 million and $65.2 million respectively in the first quarter of 2014.

But on the positive side, net sales for the quarter rose above $1 billion, helped by a 4% increase in those for bananas, which Del Monte said was primarily driven by higher sales in North America.

For other fresh produce, net sales for the quarter were up 2% to $464.6 million, primarily due to higher sales volume in the company’s non-tropical, tomato and fresh-cut product lines, it said. Net sales of tomatoes jumped up 38% to $26.5 million. The volume increased 97% but pricing was down 30% as adverse weather in Del Monte’s production areas in North America and Chile took its toll, it said.

Despite the challenges, CEO Mohammad Abu-Ghazaleh said Del Monte had made progress toward long-term initiatives during the quarter, “with positive growth in our banana business, increased volume in several product lines in our other fresh produce business and strategic improvements in the prepared food business in Europe.”

Screenshot 2015-04-29 at 19.17.27.png

Source: Del Monte press release April 28, 2015

Banana photo: By Mschel (Own work) [Public domain], via Wikimedia Commons

 

 

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Spain exporting more fruit, less tomatoes and lettuce

Spanish exports of fruit and vegetables were up 3.6% in volume and 3.4% in value this January compared to the last one, with a volume of 1.28 million tons and value of €1.14 million.

Spain’s orange exports lift 23% this January compared to the first month of 2014

fepex export jan figs.png
Spanish exports of fruit and vegetables were up 3.6% in volume and 3.4% in value this January compared to the last one, with a volume of 1.28 million tons and value of €1.14 million. But for vegetables alone, Spain’s exports were actually down 2% in both volume and value – to 620,219 tons and €619.4 million respectively – due to a fall in trade in the country’s main two vegetable exports: tomatoes and lettuce.

Fepex, the Spanish federation of associations of producers and exporters of fruit, vegetables, flowers and live plants, said it was concerned that both the value and volume had dropped for vegetables, “because it affects crops such as tomato and lettuce which are of major social and economic importance for the sector in Spain.”

Using Spanish government figures, Fepex estimates tomato exports were down 12.7% in volume and 6.6% in value to 136,072 tons and €152 million respectively, while lettuce was down 9.4% in volume and 2.6% in value, to 93,906 tons and €87.8 million. And while cucumber was up 11% to 98,257 tons, it was down 26% in value.

Spanish fruit exports

Fepex also reported the following export figures for this January:

  • Mandarin up 3.5% to 272 676 tons
  • Orange up 23% to 243,242 tons
  • Lemon up 12% 61,218 tons
  • Persimmon up 10% to 16,542 tons
  • Strawberry up 24% more to 8,827 tons
  • Avocado up 30% to 8,028 tons

Read Fepex press release (in Spanish)

 

 

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Tomato Inspiration Event attracts world leaders in tomato cultivation

A hundred of the world’s most innovative tomato growers will come together on Thursday February 5 in Berlin for the 2nd edition of the Tomato Inspiration Event.

 

A hundred of the world’s most innovative tomato growers will come together on Thursday February 5 in Berlin for the 2nd edition of the Tomato Inspiration Event.

The event brings together international CEO’s from the world of cultivation and supply, allowing them to inspire each other to reach new insights and possibly even new forms of collaboration.

The theme this year – the 2nd edition of the Tomato Inspiration Event – is ‘Crop and Process Technology’. Organisers say this subject is now receiving more attention than ever: “After all, it’s the (growing) technique which can further help with the production, quality and added value in the global tomato growing industry.”

“Globally the tomato is the most–grow greenhouse vegetable, whereby top level innovation and entrepreneurship go hand in hand.”
 

Who is the best tomato grower of 2015?

The big finale of the Tomato Inspiration Event is the presentation of the Tomato Inspiration Award, which recognises the best tomato grower in the world in the field of crop and process technology.

It will go to a grower considered a visionary and who has successfully embraced and applied new growing techniques with demonstrated improvements in the end product, and been a pioneer in overcoming negative production effects by making innovative technical adjustments to their operations.

An independent jury based in Japan, the US, Italy and the Netherlands is now busy ranking the Inspiration Award finalists.

The winner of the Tomato Inspiration Award 2014, Windset Farms, will attend the event.
 

The Tomato Inspiration Event is exclusively for invitees.

For more information: http://www.tomatoinspirationevent.com/contact/