Orange juice: prices on the up
- Published on 14/06/2021 - Published by Market News Service of CIRAD
- Free
World orange juice market
Informations
- Product(s) : Orange juice
- Rubrique / Thématique : Direct from the markets
- Country : Brazil
- Keywords : Export , Price , Production
Orange juice: prices on the up
The strengthening price trajectory for orange juice appears to be a solid trend. On the one hand, the Brazilian giant, which on its own processes more than half of the world’s volumes, will again have only a lean harvest in 2021-22. True, the expected 294 million field crates represents a rise of approximately 9 % on 2020-21, but this is still distinctly short of average for a second consecutive year (- 12 %). On the other hand, Brazilian stocks have undergone a distinct collapse. According to Citrus BR, they should fall to 311 000 t of concentrate equivalent by the end of June, a level 160 000 t lower than in 2020 and on the technical threshold, bearing in mind that the market operates on stocks for four months of the year. The only black spot is once again consumption. According to professionals, the rise in retail sales registered during the peak of the Covid-19 pandemic did not offset the collapse in OOH segment sales. Despite a long-term decline in sales, the price per tonne of concentrated juice has increased by approximately $100 from its October 2020 level, reaching $1 900 in mid-June. The $2 000 mark should soon be broken.
Sources: Citrus BR, IHS Markit, CIRAD
