Fresh Produce Discussion Blog

Created by The Packer's National Editor Tom Karst

Tuesday, November 27, 2007

A ready market

Japan will be buying significantly more U.S. oranges and grapefruit this season, according to a report from the USDA Foreign Agricultural Service.
From the Nov. 20 report:

On oranges....

California orange groves were significantly damaged by freezing temperatures in the 2006/07 season and Japanese sales of U.S. oranges reached only 2.6 million cartons (44,500 metric tons). Post estimates the new crop U.S. orange sales to recover to the pre-freeze sales level of approximately 5 million cartons (85,000 metric tons). According to Japanese trade sources, the new crop California Navels are arriving Japan in late November, which signifies the start of U.S. orange sales for the new season. Groves completely recovered from the last season’s freeze and it has been reported that the new crop has many high quality fruits. Import prices are expected to be higher in this season since there are many high quality fruit, according to Tokyo citrus traders.


On grapefruit....

The sales of Florida grapefruit have been recovering very quickly in the Japanese market since the hurricanes hit Florida citrus growing regions in 2004 and 2005. Japanese traders expect sales of 9 million cartons (approximately 153,000 metric tons) in the 2007/08 season, which will be recovering almost 90 percent from the prior season to pre-hurricane levels. The first shipment of new crop grapefruit left Florida on September 24 with a load of 7,000 cartons (approximately 119 metric tons) and is expected to arrive in Japan by early November, according to Japanese citrus traders. The fruit quality of the new crop is good and the fruit is juicy. Fruit size in general this season is relatively small due largely to the short rainfalls in August and September in the growing regions. This season’s first shipment to Japan also was about one month later than the previous season. The Florida Department of Citrus schedules a trade seminar for Japanese grapefruit buyers, users and media people in early November and this event truly signifies the start of Florida grapefruit sales promotions in Japan. The sales in early season are relatively slow but earlycrop fruit are largely used as a gift pack during Japan’s traditional year-end gift giving season. Florida grapefruit sales will come in full force in the New Year when the flavor of grapefruit improves with higher sugar content and balanced acid levels. It is also important to note that domestic citrus products such as unshu mikan tangerines dominate the Japanese citrus market until late January. Japanese citrus traders begin making their full sales pitch to market Florida grapefruit in February. The sales target is approximately 2 million cartons (metric tons) each month until May, according to traders at Tokyo Ohta Fresh Produce Market.

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