Sapex Grapes



Our final shipments for pomegranates are this coming week-end. There is still some stock for the local processing market.

Sapex intakes per week

The peak sales volume was two weeks later, in 2017 and 2018 it was in week 13 vs 2019 in week 15. Consequently, the market received the bulk of fruit in week 18/19. From Peru’s data they aggressively attempted to deliver earlier. The extreme high peak - 2018 in week 17 is not visible and large volumes arrived from week 10. In week 12 Peru already had more pomegranates in the Europe than the total sum of South Africa’s production. A true window of opportunity is in production period week 1 to 4. This period relies on stock from Turkey and Israel.

Peru's export to Europe

Market conditions was more challenging than 2018 and it is reflected in the first few weeks. Previous years South Africa started with €10 - €12 per carton, this year it was closer to €8 - €10. We could not, as in previous seasons, cling to the prices of about €8 in the middle part of the season. Prices rapidly dropped to €6 - €8. By week 18/19’s sales the conditions were the same than last year week 19/20 when Peru’s volumes arrived in the market. Peru already started to quote from €6 from week 10 forward. Current visible prices are between €3 - €4. We strive to keep out of this stress-timeframe, but even the fruit that is allocated for the programmes are 25% lower in price than last season.

There were many speculations before the season on how Peru’s export strategy will change because of last years problems. Three strategies were clearly observed:

  1. Peru started with an early season – how they achieved this is not clear

  2. Peru aggressively competed for traditional programmes at clients. They entered our competitive advantage by being earlier and quoting very low prices. If the intention was to push us out of the market we will not know, but all our clients confronted us to drop prices with 2-3 euros and dollars.

  3. Peru made a few market shifts. Up to week 19 they exported 9 484 759 cartons. This is 13% more than last year. The graph below indicates that they only had a 1% increase to Europe. The aggressive increases were to Middle East (470 689 cartons), Russia (253 761 cartons), UK (106 021 cartons) and Africa (210 669 cartons). Africa’s growth was with processing fruit.

Peru's export cumulating to week 19

It is interesting that they exported 76 106 cartons less to Far East. Up to week 19 Peru send 5 262 116 cartons to Europe, that is around 3,5 times the total production volume of South Africa.

Peru just cannot penetrate USA market. North America’s pomegranates are mostly sent to Canada and very little (if any) to USA.

We had normal quality issues, decay on Acco and Herschkovitz, weak colour and blemishes on all varieties. Our fruit looks bad against Peru and India.


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fax: +27 21 887 7233