U.S. slipping in Canada?

Here is a quick rundown of what is new from USDA FAS attache posts. You might pay particular attention to the report about competition for U.S. horticultural exports to Canada, as it drills into market share for fruits and vegetables:

South Africa apples, pears and grapes: Sum-up: South Africa's 2008/09 apple production is expected to fall slightly to 700,000 MT due to decreased productivity of older orchards. Pear and grape production is forecast to increase slightly to 346,000 MT and 266,000 MT, respectively.

South African citrus: Sum-up: According to the CEO of CGA, long-term production of citrus will decline despite current excellent international prices. Last year’s high export prices are expected to continue, especially for products destined for the EU and Russia because of lower production in competitor citrus producing countries. The Rand depreciation increases farmer returns for exports, although increasing input costs (transport, energy, and fertilizers) continue to off-set the total profit.


China and Mexico challenge U.S. horticultural exports to Canada Sum-up: The U.S. market share peaked at about 65% in the early 2000s and currently, Canadian purchases of U.S. agricultural products account for about 60% of total Canadian agricultural imports. Changing diets linked to immigration patterns, broader, year ‘round product offerings by Canadian grocery retailers, changes in ingredient sourcing by Canadian food manufacturing seeking cheaper inputs and increasing competition from global suppliers present challenges for U.S. food exporters to Canada. In recent years, other foreign suppliers, notably China and Mexico, have increased their agricultural exports to Canada especially in the fresh and processed horticultural products sector.