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'Logistics and Euro exchange rate key to watch'

Southern Hemisphere's 2022-23 table grape season of special importance

The international company Kolla Group, from Germany, visited producers in Brazil, Peru, South Africa and Namibia. During the trips visiting producers they could see a clear trend for the upcoming season; due to the numerous challenges in the last 2 years (logistical planning due to the pandemic, increased transport costs, unsatisfactory qualities, very unsteady weather) this season will be of crucial importance for many of their  producers. In view of the uncertain economic forecasts in Europe, it is important to make decisions carefully and always keep an eye on the exchange rate against the Euro.

Our growing regions at a glance

Brasil
In the Brazilian internal market, the demand for grapes is very strong. Therefore, most producers/exporters only choose to export when costs are lower. As we maintain long-term relationships with our partners, we expect to be in a good position for the first weeks of the overseas season. In this way, exporting carries the least risk.

The first weeks of harvest went without problems and the expected initial quantities will be in the warehouses on time. Increased rainfall was recorded at the end of October. Therefore, significantly lower qualities than in previous years must be expected until the end of the season.

Peru
Grape cultivation in Peru has grown enormously in recent months. The focus was on varieties such as Allison, Sweet Globe, Crimson, Sweet Celebration. The current constant cold weather conditions have meant that the red varieties have not developed the colour required for export. The ripening of the white grapes, on the other hand, has been favoured by this weather development and will show a good quality profile. We expect Peru to increase its export supply by around 10% in the 2022/23 season. With increased production area, high productivity and the development of new varieties, grape cultivation in Peru could possibly reach the top of the world export market.

South Africa/Namibia
In Groblersdal/ South Africa, harvesting started in week 44 with varieties like Early Sweet and Prime. Although there is increased rainfall at the moment, we expect normal quantities for this first part of the season.

In Namibia, the harvest will start in week 46-47 with a few days delay. The weather here is colder than usual for this time of year.

General
Shipping is stable in all regions of the overseas grape harvest and logistics costs have decreased slightly compared to 2021. The first containers have already arrived in Europe and we are very satisfied with the quality and volumes so far. We are happy about a good start into the season and will keep you updated with further information about the development in the regions in the coming weeks.

For more information:
Kolla
Tel: +44 7539291497 
www.koella.com 

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