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Prices for Indian grapes will be similar to last year

“Current weather conditions in India are perfect for a healthy growth of the crop”

The Indian grape season saw some delays due to excessive rains, says Samir Singh, business promoter for Indian grape exporter Mersel Foods: “Too much rain over an extended period has delayed the pruning process for 2-3 weeks in the main grape growing region of Nashik, which means the harvest will be delayed by a couple of weeks. Currently, the weather conditions are perfect for a healthy growth of the crop and the weather forecast looks promising for the coming weeks. We are expecting a good volume and quality harvest in the coming season.  A sizable volume will be available for export from the second half of February to the second half of April.”

The early grapes are already being exported though, Singh explains. However, prices for transport towards the Russian markets are very high. “Early grapes from the Satana area of Maharashtra have already found their way to Russia. Although, the extended season of rains up to the beginning of October did have a damaging impact on the quality of the early harvest. Most of the shipping lines are currently not operating vessels for Russian ports. Those who are operating are currently charging astronomical freight rates, to the tune of 10,500 USD for a reefer container from Mumbai to Novorossiysk. We will start exporting to Russia from week 48.”

Luckily, Russia isn’t the only market that Mersel Foods exports to, says Singh. The company is also introducing new packaging to reduce the use of plastic: “We will continue with our existing markets, which are Europe, UK, Russia and Canada, in the coming season. Thompson will be our main variety of grapes for export; we will also export some volumes of Sonaka, Crimson and Flame varieties. Last season, we did a successful trial with paper punnets as an alternative to plastic punnet. This year we are planning to supply this format of packing on a regular basis.  Although, we have a plan to export around 400 containers in the coming season, we shall look with interest and caution as to how market reacts to Peruvian and South African grapes under the impact of high energy costs and high inflation in Europe.”

Singh emphasizes that India is one of the countries that doesn’t have to deal with huge inflation or insane energy prices, which is positive for the overall grape prices. “India has been mostly immune to the high energy costs currently causing hyperinflation and a reduction of demand for consumer products in many countries. The rates for grapes in India are expected to be more-or-less at the same level as last year. The high energy charges in many countries have given a further hike to the cost of imported packaging material, though a sizable reduction in sea freight charges to Europe is expected in the coming season, which will ease the pressure on the landed cost of Indian grapes in Europe. Overall, we are quite anxious about the response of the market to the prevailing challenges in Europe and the UK. The unpredictable situation in Russia keeps us on our toes,” he concludes.  

For more information:
Mr. Samir Singh
Mersel Foods Pvt. Ltd.
Tel: +371-29516075
Email: samir@unisel.lv 
www.merselfoods.com