The Egyptian orange season is coming to a premature end, as the very few remaining packing stations close their last shipments. It has been a season of many twists and turns, marked by a reduced supply, a spectacular rise in prices, and the persistent crisis in the Red Sea, all this as the reduction in subsidies for exporters takes effect.
Mohamed Shaker, Export Manager at El Mansi, says: "Most packing houses have stopped packing oranges. At Al Mansi, we are closing the last orders of the season, destined for Arab countries, but we are working below capacity and have already stopped exports to Europe. I think that the few exporters still present on the market will end their campaign in May at the latest. A short campaign, indeed, since last season we finished at the end of June."
Behind the short campaign, a drop in supply coupled with a dramatic increase in local demand in Egypt this year, as orange concentrate factories flourish and absorb large volumes at attractive payment terms for growers. Shaker adds, "Our export volumes are down 15% this season, due to lower production, internal competition, and the continuing impact of the Red Sea crisis."
The race for orange supplies intensified just after the Eid al-Fitr vacation at the beginning of April, driving prices to new heights. "Egyptian orange prices reached US$ 800 per ton just after the vacation, which I'd never seen before. Several packing stations then decided to stop packing oranges. Prices then calmed down, but they remain very high to this day", Shaker continues.
Last season (2023/2024), Egyptian citrus exports increased by 21% over the preceding season, crossing the two-million-ton mark, including 1.93 million tons of oranges. Average prices per tonne last season fell to US$ 474 compared with US$ 497 in 2022/2023.
Mohamed Shaker
Al Mansi
Tel: +20 102 562 2070
Email: [email protected]
www.almansifresh.com