Newsletter 148 – 03.02.2023
Despite the challenges, the 2022/23 season was again successful, reaching some records. It was possible to advance and establish itself in the world markets, increase the presence in retailers and conquer more consumers. Chile ends with a new export record, reaching 400,000 tons. In the other southern countries there is also enthusiasm for this fruit, although their exports remain relatively limited. Among all shipments do not reach 15,000 tons.
But cherry is a tricky fruit. Its production is complicated, being very sensitive to climatic changes. Any alteration, whether of temperatures, rainfall, winds, etc. cause great damages and economic losses. To this is added the logistics that has to be very well oiled. Finally the markets are complex, being difficult to predict the evolution of the seasons.
Chile
The first forecasts were encouraging thanks to the cold winter that allowed a good accumulation of cold hours. As an inconvenience, it was presented on the one hand that came from a year of great production, being a species in which the alternation is felt. But surface expansion compensated for lower yields. Another difficulty was the need to force an advance of the entire campaign. For the Chilean cherry there is a key event, which is the Chinese New Year. The date of celebration varies according to the lunar cycle. This year it was one of the earliest. For cherry marketing there is one before and after the celebration. The demand explodes prior and during the party, since the cherry represents for the Chinese perfection, eternity, fortune and prosperity. Therefore, the Chilean industry tries to arrive with the greatest possible volume before the party. After the festivities, interest and prices fall abruptly.
This year 85% of shipments to China were made before December 15. To achieve this record, we had to do a very special agronomic management, which will advance maturation, with the high risks that this entails. This was not easy, but it was achieved, although some unforeseen events arose, such as a greater fall of fruits, rains and a truck strike in November. Another challenge was to improve the logistic, very problematic aspect during the previous campaign. But thanks to a joint effort of all involved, traffic times and arrived at the markets with a better fruit quality, than in other years.
The season ended with an export of 400,000 tons, thus exceeding the records of the previous two years. Again it was China that received the largest volume (350,000 tons). But greater diversification was achieved. This year Chile set out to advance in the North American market, which sent 50% more than in 2021/22 and three times more than in 2020/21. Thanks to a great promotional effort, it was sought that the American buyer discovers the southern cherry and buy it and consume it. Greater shipments were also made to countries of the Far East, which are not China. Such was the case of Taiwan, Korea, Thailand, India and Vietnam.
Argentina
The season ends with an export close to 4,750 tons. This is -15% that in 2021/22 and also less than in 2020/21 and 2019/20. The lower export is due on the one hand to climatic problems and on the other hand to Argentine politics, which does not support, or help to export fruits. Regarding the weather, this was very complicated. The different producing regions recorded losses due to frost and hail. Except for exceptions, it was reaped less than in 2021/22. The export was developed without major details. As in previous years, there is a greater diversification of destination. China is the main buyer, but receives a third of Argentine shipments, while in the case of Chile it is 85%. It is followed in importance, Europe and the Middle East. Export participation fell, given the difficulties faced by Argentine entrepreneurs in export (high costs, complex logistics, lack of commercial agreements, high tariffs). An important proportion of the harvest was sent to the domestic market, which reacted positively, increasing the consumption of cherries among Argentines.
