PUBLISHER: Fresh Plaza (www.freshplaza.com)
South Africa is set for record citrus exports of 2.7 million tons in marketing year 2021/22 despite ongoing challenges. Favorable weather conditions, new areas under production, and higher demand in premium markets, such as the United States, are driving the growth in exports. Duty-free exports of citrus to the United States under the African Growth Opportunity Act reached a historic high of 100,234 MT in 2021.
However, several challenges are facing the industry, including, soaring input costs, especially fuel and fertilizer, a major surge in shipping costs, ongoing operational challenges at the country’s ports, and the impact of the Russia-Ukraine conflict on established trading patterns. As a result, profitability and the sustainability of the industry are under threat and could limit future investments.