In hot water

Hello from the Fruitnet newsroom. The horrific wildfires in Los Angeles didn’t affect the fresh produce business directly, but they did fan some searing political heat towards large-scale horticultural production north of the city. Crops grown in California like nuts, citrus, avocados, and grapes require a significant volume of water, much of it drawn from its network of aqueducts, reservoirs, and groundwater supplies. A small but vocal minority argue that using water to irrigate on such a massive scale exacerbates the state’s drought conditions.

Controversy over water usage is a river that runs wide and deep through California’s history – from the nineteenth century gold rush, via ambitious infrastructure projects in the mid-twentieth century, and onwards into an age where agriculture’s thirst for irrigation seems at odds with the region’s urban expansion. The past week’s intense spotlight on resource allocation has reignited debates over sustainability and equitable water distribution in a region increasingly, and so dramatically, affected by climate calamity.

Billionaire entrepreneurs Stewart and Lynda Resnick, owners of The Wonderful Company, are an easy target for criticism. In the past couple of weeks, they have been demonised for part-owning a giant reservoir system near Bakersfield called the Kern Water Bank, which they draw upon to grow produce including almonds, mandarins, pistachios, and pomegranates. But as Fortune points out, any suggestion that this diverts water away from firefighters simply isn’t true. An earlier Forbes article suggests the company acquires water more easily than smaller, less wealthy users. But the truth is its entire operation only uses a tiny proportion of the state’s entire water reserves each year. Not surprisingly, the company is now doing its best to douse the flames of controversy.

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Gone sour ?? “When there is an excess of supply, prices go down and when there is less supply, prices go up.” The words of Antonio Walker, president of Chile’s National Association of Agriculture and former agriculture minister, after this year’s record cherry export volume triggered a 50 per cent drop in prices ahead of the Chinese New Year festival. Of course, that’s not advanced economics, it’s a fundamental principle of business that is taught in schools and universities the world over. Which some might argue means the Chilean cherry industry either forgot that truism, never learnt it in the first place, or chose to ignore it. Or perhaps they just thought China would always buy more. Whichever it is, this crisis has prompted some soul searching and almost certainly a rethink of Chile’s cherry marketing strategy.

Downs and ups ???? Spain appears to be producing less fresh produce, and importing more. As Maura Maxwell reports, Egypt, Indonesia and Ukraine have all overtaken the country when it comes to fruit and vegetable output. Faostat data show its output fell by 10 per cent between 2020 and 2023, from 31mn tonnes to 28mn tonnes. And a separate report reveals that Spain spent more on fresh produce imports in January-October 2024. Morocco was the country’s leading supplier, but Peru and France have both caught up, with Portugal in fourth place. Meanwhile, Valencia’s recovery continues. And on 25-26 March 2025 we will head there for our rescheduled Fruitnet Citrus Congress, to look back on a citrus season like no other, and consider the sector’s long-term challenges of varietal renewal and consumption growth. Book your ticket here.

Vine and dandy ?? Our man in southern Africa, Fred Meintjes, has followed developments in the region’s grape business closely over the past few weeks. As he reports this week, it’s been a great export campaign for Namibia’s growers, who have ended the 2024/25 season on a high by shipping around 12mn cartons abroad. What’s more, they’ve done it quicker than ever thanks to their new logistical plan. Meanwhile, exporters in Chile say their new ‘systems approach’ protocol has significantly improved the quality of table grape shipments to the US, Brazil and Mexico. So far this season, the country has shipped almost 650,000 cartons of the fruit to the US, Mexico and Brazil under the scheme.

Tough at the top ?? British berry growers face a difficult year ahead as energy and labour costs increase. And, despite record market value of ￡2bn in the UK and 4.3 per cent sales growth in the past year, some argue that unfair retail supply deals threaten their future survival. On a related note, Mike Parr of PML Seafrigo warns of possible problems for imported berries too, thanks to yet another Brexit-related hangover. And staying with berries, Planasa has appointed Hans Liekens as global head of innovation.

Premium aplenty ?? Continued investment in club apples, supported by high-profile marketing promotions, appears to have brought sustained growth for Italy’s growers and exporters. And as licensed varieties like Cosmic Crisp return to European markets, the two biggest exporters Vog and Vip are ready to roll out major marketing campaigns to drive sales. There appears to be a lot more value in produce brands these days. So no wonder Nador Cott Protection has taken legal action against a second British retailer over what it says is the “unauthorised sale” of Tango/Tang Gold mandarins. Elsewhere, new premium products are popping up everywhere. Anecoop has a new blood orange brand to unveil at Fruit Logistica next month. Driscoll’s’ Tasmanian-grown strawberry variety Zara is back on Australian shelves, under the trademark Sweetest Batch. Rijk Zwaan’s Tropical Sunshine watermelon is said to be thriving in South African supermarkets, while its award-winning snack pepper Tatayoyo is about to to launch in European branches of Lidl stores through Scherpenhuizen in the Netherlands and Unica Group in Spain. And Nutrafruit says it will export around 500 tonnes of Queen Garnet plums to markets across China, Vietnam, Cambodia, Malaysia, and other South-East Asian countries this season.

US inaugurations ???? The president of Sun World International, Bernardo Calvo, has been promoted to CEO, with David Marguleas moving to executive chair. The California Table Grape Commission has appointed Alexandra Merritt as director of global marketing and Lisa Massie as director of international marketing for Asia, following the recent retirement of Susan Day. Greenyard USA/Seald Sweet has recruited Rodrigo Lazo as head of sourcing and grower liaison. Alexis Taylor join’s the IFPA as chief global policy officer on 18 February. And in May, Oppy’s John Anderson will join a list that includes eight US presidents – including Ronald Raegan and Jimmy Carter – when he receives the International Humanitarian Ellis Island Medal of Honor. The ceremony will feature fireworks over the Statue of Liberty.

Avocado advances ?? Rwanda appears to be getting in on the avocado act. According to new government figures, weekly exports have risen from 2-3 tonnes in 2021 to 15-20 tonnes in 2023/24, driven by strong international demand. And in New Zealand, production is forecast at roughly 7mn trays of the fruit this season, up from the 5mn trays harvested last year and a marked recovery from two cyclone-hit campaigns. In the UK, meanwhile, Sainsbury’s is switching its own-brand avocado twin-packs from plastic to paper packaging, in a move it says will eventually save 20.2mn pieces of plastic a year.

Mixed fortunes ?? Peru’s mango exports seem to have recovered strongly after a disastrous 2023/24, according to new analysis. And, as Maura Maxwell reports, mangoes have also led Brazil’s recent export charge, helping to push the total value of its fruit exports to almost US$1.29bn last year. In Argentina, however, producers in Río Negro warn that tens of thousands of tonnes of apples and pears could go unharvested in the first quarter of 2025. That’s because their costs are prohibitively high, they say, the result of exchange rates, falling consumption, oversupply, increased input costs, high taxes and a general decline in export volumes.

Eye of hortus ???? With so many growers and exporters investing in technology and varieties to capitalise on their potential climate advantage, Egypt is certainly a supplier to watch with interest right now. Juhayna’s Amr Eltarabolsy tells Tom Joyce he is optimistic for the future of Egyptian citrus, as the company expands in both the fresh and juice markets across the world. And another exporter, Pico, talks here about its new strawberry and grape varieties, expansion into avocados, and growing demand for mangoes.

Homing into Ho Chi Minh ???? Cold chain specialist Seafrigo has opened its first office in Vietnam, and appointed Fabian Hautiere as country managing director, as it looks to serve the country’s tropical fruit export business. Coincidentally, the agenda is now live for Fresh Produce Vietnam, which launches in Ho Chi Minh City on 13-14 May 2025. And Asia Fruit Logistica heads back to Bangkok on 25 June for a day of networking and knowledge-sharing focused on south-east Asia’s dynamic fresh produce market.

Still ripe and ready…

Thanks a million ?? This year should see fruit and veg bearing the fair-trade brand Thx! sold at even more major US retailers – including Costco, Walmart, Sam’s Club, and Winn-Dixie. Here, co-founder Martin Casanova explains why.

Skin in the game ?? Scientists in the US have discovered they can do something rather interesting with mango peel.

Thanks for reading…

Mike Knowles, Fruitnet Europe

PS Early-bird tickets are selling fast for our Fruitnet Berry Congress in Rotterdam on 13 March. Click here to book your place.