A week after avocados were reported to be selling at a premium, mango supplies have dried up in the European markets. According to market reports, there are noticeably less mangoes coming to Europe this season, a development attributed to Brazilian producers who are choosing to send produce to the US, with corresponding high prices.
Carlos Andre Faria of Sun City was quoted by the media as saying that said that demand is increasing amid fewer supplies. He added that more buyers in the market.
He added that the weak exchange rate has also discouraged exports from Southern America, that produces more of the Tommy variety, which is not a favourite in Europe that prefers the fibre-less Keith and Kent.
He does not expect that the Brazilian production will switch to the fibre-less varieties. The consumption in the big markets such as Sao Paulo and Rio de Janeiro has, in the last two years, increased enormously, due to an increase in the middle class population and a big change in exchange rates.
The US offers fixed prices, causing Brazilian exporters to choose the American market at the moment. “If European importers don’t change, by offering fixed prices the effect will be much less available volumes,” he sdaid in an article published by FreshPlaza. The Brazilian producers, according to Carlos Andre, will not take risks any more because there are enough options available to sell the mangoes.
In addition to this the freight charges have also risen dramatically. Carlos Andre says that the shippers have increased charges by 35% since 31 July