Brazil Increases Papaya Exports in 2024
Nov, 25, 2024 Posted by Sylvia SchandertWeek 202445
Brazil’s papaya exports are on the rise in 2024, according to a survey by the Brazilian Fruit Growers Association (Abrafrutas), based on government data. Exporters and importers note that Brazilian papaya is well-received in the market, often surpassing local offerings despite potential price differences between products.
From January to October, shipments totaled 35.84 thousand tonnes (+14.65%), generating accumulated revenue of $47.79 million (+7.39%). During the same period in 2023, exports were 31.26 thousand tonnes with revenue of $44.5 million.
The primary source of papaya for export in 2024 is Espírito Santo, with 15.85 thousand tonnes from January to October, amounting to $23.32 million. Next is Rio Grande do Norte with 11.97 thousand tonnes ($13.95 million) and Bahia with 3 thousand tonnes ($4.10 million).
The Brazilian government and the private sector expect this growth trend to continue through the end of the year. In an October fruit and vegetable market report, the National Supply Company (Conab) noted that increased national production has favored exports.
“For the remainder of the year, expectations are positive, especially for papaya grown in Espírito Santo, Rio Grande do Norte, and Ceará, thanks to good production levels driven by previous investments and strong external demand, particularly from Europe,” Conab stated in its report.
Researchers at the Center for Advanced Studies in Applied Economics (Cepea) also assess the current market as favorable to exports. Marcela Barbieri, a researcher in the fruit and vegetable sector, highlights that while papaya is still considered a niche market in Europe compared to other fruits like melon, grapes, and apples, demand is strong.
Barbieri explains that producers tend to sell more to local customers when domestic prices are high. Conversely, increasing export volumes can be more profitable if domestic prices are lower.
Based on Cepea’s monthly averages this year, papaya from northern Espírito Santo, with volumes of 12 to 18 fruits per box, peaked in April at R$8.45 per kilogram. In October, the average price was R$0.59 per kilogram.
“Starting in November, supply may begin to decrease, and domestic prices are likely to rise. But this is a recovery as the market returns to normality. Considering the parity, the outlook is still positive for exports,” says Lucas Bezerra from Cepea.
In 2024, the main destination for Brazilian papaya is Portugal, which imported 10.74 thousand tons from January to October, valued at $13.93 million. The UK follows with 6.2 thousand tonnes ($8.2 million) and Spain with 5.77 thousand tonnes ($7.13 million).
Well-Received Product
Doce Fruit, based in Linhares (ES), is one of the companies exporting papaya sourced from both its own production and partner suppliers. The company also offers services for other brands and has its own processing facility where the fruits are cleaned, packaged, and shipped to airports for international transport.
Rodrigo Martins, CEO of Doce Fruit, states that Brazilian papaya is highly regarded in international markets. In Europe, consumers often highlight the flavor and health benefits of Brazilian papaya, a perception that has boosted demand and, consequently, the company’s sales.
Martins shares that their growth rates have been between 10% and 15% annually. Currently, Doce Fruit ships between 200 and 400 tonnes of papaya per week to 15 countries. Shipments are mostly by air, as papaya is a tropical, perishable fruit that must arrive with a good shelf life.
“Our highest revenue comes from papaya, and we expect to maintain this growth. The fruit generates around R$ 200 million in revenue,” he says.
Martins points out that the United States has stringent sanitary regulations among the key destinations, but it is not a difficult market to negotiate with. In Europe, the challenge is dealing with the specifics of each market. For example, the Portuguese prefer riper fruits, favoring the Formosa papaya, while the British consume more of the smaller papaya varieties.
“All these markets are important for our business. We segment the fruits during harvest and direct them to the regions with different market characteristics,” explains the executive.
New Markets and Valuation
Doce Fruit is also planning to expand into new markets, including the United Arab Emirates, which recently opened its doors to Brazilian papaya. China is another target market, but the fruit’s entry into the country depends on a trade agreement between the Brazilian and Chinese governments.
In the current scenario, without China, the Brazilian Papaya Producers and Exporters Association (Brapex) believes exports will grow by about 15% in 2024. Last year, total papaya exports were 37.85 thousand tonnes, with revenue of $53.07 million.
José Roberto Macedo Fontes, president of Brapex, believes the papaya market is following the same trend of appreciation observed in other export fruits. He explains that producers are incorporating technology and sustainable practices to meet consumer market requirements, particularly in Europe.
Europeans are tightening restrictions on the presence of chemical residues in papaya shipments, which has contributed to reduced export volumes in previous years. While Brazilian papaya is not classified as organic, it does stand out for its sustainability efforts.
“We are focusing on good practices, regenerative agriculture, and biological control. This ensures that we produce zero-residue volumes. We remove chemical molecules from the process, reducing costs because pesticides dominate,” says Fontes.
Julio Alonso, a papaya importer in Madrid from Fru & Ver, which wholesales the fruit in Mercamadrid, Spain’s largest supply center, reports that he has never encountered issues with papaya shipments to his business. However, he notes that strict regulations apply, which can result in product loss. Hence, exporters need to be vigilant.
“The more involved the Brazilian producer and exporter are with this process, the better. It’s a complicated situation because analyses must be done at both the departure and arrival points, which may cause delays and affect quality. Everything can be solved by working with experienced Brazilian suppliers who know what needs to be done,” says the merchant.
He emphasizes that Brazilian papaya is well-received in the market and has growing demand. “Formosa papaya is very popular here in Spain. It sells well, especially to customers with higher purchasing power,” he adds.
Source: Globo Rural
Click here to read the original article: https://globorural.globo.com/agricultura/hortifruti/noticia/2024/11/brasil-aumenta-exportacoes-de-mamao-em-2024.ghtml
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