Turkish Apricot, Market Outlook 11.09.2023
Exports of fruit in August were 5,537 tons, compared to 5,429 tons last year. This represents an increase of 1.8%.
Export prices were 14% higher on average than August last year. This is due to a number of factors, including the tight supply of good quality fruit and strong demand from overseas buyers. The supply of good quality fruit is tight. The majority of fruit in the market is speckled and/or hail damaged. Sizes of new crop are mostly large, size 0 through 4. There is a slight premium for size 0 and 1, but size 2 through 6 are more or less the same price. Though the crop is short overall, the shortage will be most notable in size 5 through 7, popular sizes for retail.
Demand for fruit is strong. August saw strong demand and prices increased from 120 to 150 Lira per Kg for raw material. By the end of August and first week of September, the market settled at 150 Lira per kg for clean fruit. There is a 30 to 50% discount for blemished fruit. Prices are expected to remain steady in the near term. The only factor that is currently holding the prices steady is higher interest rates discouraging packers from borrowing. However, given the lack of supply in the market, there is a potential for prices to increase in the coming months.
The apricot market is in a state of flux. The tight supply of good quality fruit is driving up prices, but higher interest rates are discouraging packers from borrowing. This could lead to a decrease in supply in the coming months, which could push prices even higher. (Agrimax.com)