Kiwi Market Digest w45

Price Updates and Expectations

According to the latest update from the Federal Ministry of Food and Agriculture of Germany, Greek and Italian kiwifruit has dominated the wholesale markets in Germany, while produce from New Zealand is now scarce. This supports Italian and Greek fruit price-wise, increasing their prices. This increase is expected to continue and intensify as we are slowly approaching the end of the harvesting season in Greece, making market perpetrators consider this development in their decisions.

Strong Rebound Witnessed in the French Kiwi Sector

The French kiwi production took major blows in recent years, mainly due to adverse weather conditions and crop diseases. No matter the hardship they went through, French producers did not take the easy route of abandoning the crop altogether and changing their farming activity to take advantage of the most convenient sources of short-term profit.

Instead, taking into account the positive prospects that exist for the specific sector, they took steps to optimize the long-term value of their activity. This was expressed by diversifying their crop portfolio and modernizing their technical procedures.

This is a very good sign of the maturation of the kiwi sector. Similar signs can be seen from developments relative to creating new varieties that best suit the ever-evolving consumer preferences, but also from developments on the foreign trade frontier.

A Globalised View of Agriculture

South Korea recently gave the green light for Italian kiwifruit exports to the country, and shipments of the fruit have already started.

Εxtended international trade allows the various countries participating in the sector from the side of supply and transformation of the product to allocate their resources to the activities they are most productive. This is imposed by the “discipline of the market” and through the process of price and quality competition. For example, Greece may not be able to excel at processing fruit, but it can easily be a top producer of top-quality fresh fruit, and, similarly, countries with industrial infrastructure, such as Spain, could benefit from leaving it to other countries to produce the fruit and then buy it to manufacture cost-effective kiwi products of added-value.

The exposure of the product to the most extensive network of consumers imposes the “discipline of the market” on its potentially reckless participants since any misdemeanors could cost them as much as getting barred from sending their product to specific countries, blocking their way to big markets. Irregularities today are easier to detect than ever, and quality assurance processes dictate every stage of export transactions, as the recent example of Italian exports to South Korea shows.

This way, producers as well as wholesalers and Food Production Units active in the kiwi market can make use of the advantages that their domestic conditions offer and, through successful positioning of their product, they can extract the maximum value possible out of their activity.

To do this, though, they need to be able to correctly translate the signals of the market, and also receive and apply advices from trusted partners that are seasoned in the field.

Wikifarmer's Edge

To facilitate the interest of both farmers and B2B buyers of fresh produce, Wikifarmer negotiates with a worldwide network of suppliers to secure a steady supply of all the main kiwifruit varieties at reasonable prices. Our team can help both sides with price negotiation, credit terms, and logistics and transportation arrangements. We also implement strict Quality Assurance procedures, making sure that producers provide us with all certificates that prove their claims about their products, and that all relevant analyses take place. 

This way, producers can market their products, and B2B buyers can source the product that best matches their quality needs and budget.