Chile lemon report - USDA FAS

Chile expects another strong export year for lemons to the U.S, says this USDA FAS report.


Another good season is expected for lemon producers in Chile. Industry sources have indicated that as a result of a significant fall in the production in California and Arizona the market in the United States has become very attractive for Chilean lemon exports. Production in the States is expected to be lower close to 30 percent when compared to the previous year which will have a positive effect on international prices. As a result of the high demand and international prices, the United States increased their lemon exports to Japan, Canada, Australia and South Korea creating a deficit in the domestic supply which Chilean producers expect to fill partially together with Mexico and South Africa. The United States is Chiles main lemon export market in volume with 59 percent of total exports, followed by Japan which is on the other hand Chiles main export market in value. Lemons are harvested year-round in Chile, with the bulk of output from June through December. The main varieties are Sutil, Eureka and Genova. No official production or consumption data are maintained for lemons. Based on industry reports, we estimate that lemon production in Chile will keep expand slightly over the next years based on new plantings that are taken place. In addition, some older orchards have been replaced with higher-density plantings. But as lemons are sensitive to frost some production variations are observed year after year. The industry expects a slight fall in production for CY2008 as a result of frost in some important production areas during the winter (June through August) of 2007.
TK: Production and exports are projected about the same as last year, when the total production was near 47,000 metric tons and exports to the U.S. were more than 27,000 metric tons.