Category: Blog

The announcement coincides with a shortage of protein in China after a fatal hog disease has killed millions of pigs.

China on Thursday lifted a nearly five-year ban on poultry meat imports from the United States, a move that senior US officials said would pave the way for more than one billion dollars in annual poultry exports to China.

Shares of American poultry producers soared on the announcement from China’s customs authority. Tyson Foods shares were up 4.6 percent in morning trade, Sanderson Farms rose 4.2 percent and Pilgrim’s Pride Corp shares were up 2.2 percent, outperforming a largely flat stock market on Thursday.

China’s resumption of US poultry imports comes as the world’s two largest economies are trying to finalise a limited trade deal that focuses largely on increased Chinese purchases of American farm products and the opening of China’s financial services market.

The announcement also coincides with an unprecedented shortage of protein in China after a fatal hog disease has killed millions of pigs in the pork-loving country over the past year. China customs at the end of October lifted a three-year ban on poultry from Spain and Slovakia.

China had banned all US poultry and eggs since January 2015 because of an avian influenza outbreak, and imports plummeted that year to a fifth of the $390m worth in 2014.

US Trade Representative Robert Lighthizer said the lifting of the “unwarranted” ban was good news for both American farmers and Chinese consumers.

“China is an important export market for America’s poultry farmers, and we estimate they will now be able to export more than one billion dollars worth of poultry and poultry products each year to China,” he said.

China’s move also occurs after the US Food Safety and Inspection Service amended the Federal Register last week to approve imports of poultry products derived from birds slaughtered in China.

The poultry approvals by each side come during ongoing negotiations between the countries to resolve a 16-month long trade war in which each has slapped tariffs on billions of dollars worth of each others’ goods.

Improving access for US farm products in the Chinese market has been a critical part of the negotiations, with the removal of non-tariff barriers seen as key to reaching Trump’s goal of doubling agricultural sales to China.

China’s imports of chicken surged nearly 48 percent to 9.2 billion yuan ($1.3bn) in the first nine months of this year, including breast meat, which is normally in surplus in the country.

by Aljazeera

The INC has released its latest Global Statistical Review with 2019/2020 production forecast updates on tree nuts, peanuts and dried fruits

REUS, Spain, Nov. 14, 2019 /PRNewswire/ — Northern hemisphere tree nut harvests progressed at a normal pace in most growing regions, yielding crops in line with overall expectations, both in terms of volume and quality. World tree nut production for the 2019/2020 season has been forecasted at about 4,538,000 metric tons (kernel basis, except pistachios in-shell), slightly up from 2018/19.

The biggest increments this season are expected for hazelnut and walnut crops. Hazelnut production is foreseen to be risen by 15% compared to the previous season to over 530,000 MT on account of increased crops from Turkey, the leading producing country, and some other origins such as France and Spain. World walnut crop has been forecasted at around 969,000 MT, 10% above the previous year due to significant rises in most producing origins.

World peanut production has been anticipated to remain within the previous season range, amounting to 40.9 million with the largest crop increments from the prior season forecasted for China, India, Brazil and USA.

The world production of dried fruit in 2019/20 has been forecasted at circa 3,283,000 MT, a growth of 5% compared to 2018/19. The greatest increments are expected for table dates (up 9% to 1,226,000 MT), prunes (up 9% to 215,800 MT) and dried figs (up 17% to 158,500 MT).

About the International Nut & Dried Fruit Council

The INC is the international umbrella organization for the nut and dried fruit industry. Its members include more than 800 nut and dried fruit sector companies from over 80 countries. INC membership represents over 85% of the world’s commercial “farm gate” value of trade in nuts and dried fruit. INC’s mission is to stimulate and facilitate sustainable growth in the global nut and dried fruit industry. It is the leading international organization on health, nutrition, statistics, food safety, and international standards and regulations regarding nuts and dried fruit.

By Cision, Pr Newswire

The ongoing US-China trade war provides huge opportunities to leather exporters to increase their shipments to America, CLE said on Thursday. Council for Leather Exports (CLE) Chairman P R Aqeel Ahmed said the sector’s exports grew about seven per cent to the US in the past four months.”The trade war gives huge opportunities to the sector to further explore the US market,” he said here at the National Export Excellence Awards here.

He said leather exports have recorded dip in growth in value terms but in volume terms, it is increasing. “This is the sector which provides the highest employment to women and we are taking several steps to promote exports,” he said. According to him, this labour-intensive sector has huge potential to earn foreign exchange for the country and create jobs for the youth.

The commerce minister has already announced a Rs 2,600-crore package for the leather sector to boost exports, Ahmed said. “Despite the global economic slowdown, production and employment in the leather sector have increased. Also, this is the only industry where in the exports of value-added products (USD 5.69 billion) are almost five times more than the import of inputs/components/accessories and capital goods which is to the tune of USD 1 billion,” he said.

He added that the industry is undertaking a multi-pronged approach including product and market diversification, attracting investments, increasing capacities and also developing skills of workers so as to increase its global market share in the coming years. Currently, Europe accounts for about 70 per cent of leather exports from India. The sector employs about 44 lakh people.

The Council for Leather Exports presents the Export Excellence Awards to its member exporters every year. These awards are presented for various product categories such as finished leather, leather goods, leather garments, footwear, saddlery and harness items, and footwear components.

By Financial Express

The Trump administration’s trade war is ravaging exports to China across the U.S. and well beyond the farm belt, new data from the U.S. Commerce Department show.

More than 30 states stretching from Florida to Alaska suffered double-digit drops in merchandise exports to China through September of this year. Sales to the Asian nation fell 39% in Texas, where oil and gas products comprise the largest export to that country.

In Alabama, which touts its status as the No. 3 auto-exporting state in the U.S., total shipments to China plunged 49% in the first nine months. Florida’s merchandise sales to the country slumped 40% in the period, while West Virginia and Wisconsin each saw drops of about 25%. Product exports to China from the U.S. as a whole dropped 15% to $78.8 billion.

“Chinese demand for imports overall has been weak,” said Brad Setser, senior fellow for international economics at the Council on Foreign Relations. The recovery time for various U.S. products will depend on the nature of the trade deal, he said.

“In some cases, U.S. exports will never recover,” he added.

Washington state, home of Boeing’s industrial base, saw total Chinese merchandise exports fall 45% through the third quarter amid the grounding of the 737 Max, the company’s best-selling jet.

China has struck back in the trade war by imposing duties on about $135 billion of U.S. goods, targeting everything from farming products like soybeans and pork to motorcycles, cosmetics and wigs. With talks underway for a phase-one deal, Beijing has re-upped its demands for the removal of tariffs the U.S. has put on $360 billion of Chinese imports.

Meanwhile, a new report says China’s retaliatory tariffs on U.S. goods likely cost the GOP five House seats in the mid-term 2018 elections, a possible warning sign ahead of next year’s presidential vote. The study didn’t identify the candidates, but it pointed to agricultural tariffs as driving the losses.

The trade war, coupled with cuts to health care, “appear to have hurt Republican candidates where swing voters matter most,” said the analysis released this month by the National Bureau of Economic Research.

If tariffs remain and companies reduce jobs or wage growth slows due to declining exports, “there’s room for stronger effects on workers and on how they vote” in the 2020 elections, said Emily Blanchard, an economics professor at Dartmouth’s Tuck School of Business and an author of the study.

That’s not happening yet, said Ahmad Ijaz, an economist at the University of Alabama’s Center for Business and Economic Research.

“Although exports to China have fallen sharply in 2019, it hasn’t had any significant impact on payrolls so far,” he said, adding that vehicle manufacturers are hiring workers and some lost sales to China are being offset by gains in other places, particularly Europe.

Exports to China support more than a million U.S. jobs, according to the U.S.-China Business Council, which represents American companies doing business in China.

Amid the Chinese export carnage are a few bright spots. Buyers are still snapping up semiconductors made in Oregon, primarily by Intel Corp. which operates one of its biggest manufacturing plants in the state. Oregon’s total exports to China surged 65% in the nine months, according to the data. Only about a third of the state’s products are impacted by the proposed tariffs, according to Business Oregon spokesman Nathan Buehler, who said semiconductors for the most part are exempt.

Intel Gives Bullish Forecast on Data-Center Chip Demand

Similarly, South Carolina’s sales to China jumped 30% through September, partly on airplane exports. Some Boeing Co. 787 Dreamliner planes are made in the state and about 17% of those aircraft to date have been sold to China. The Chinese were set to buy 100 more Boeing wide-body jets, including the 787 and 777X, but the deal has stalled on trade uncertainties.

Boeing Warns U.S.-China Spat Raises New Risk for 787 Dreamliner

Indeed, neither South Carolina nor Oregon officials are complacent about the future of their Chinese exports. “It’s the uncertainty that provides so much concern,” Buehler said, noting that potential new tariffs are an obstacle for existing exporters and a barrier for companies weighing the costs of entry. “There’s lots of angst.”

By Bloomberg

The California table grape season is coming to an end, and it looks like the season will end earlier than usual this year. The market is not yet transitioning from domestic to imported product, but the transition will begin soon. This year, Brazil is looking to reenter the U.S. markets with their grapes after having had multiple years of bad results.

Ira Greenstein of Direct Source Marketing comments: “With a focus on buying the best quality fruit available, retailers will be keeping a close eye on California shipments through Thanksgiving. Brazilian growers are hoping to step back into the market and catch a window if California has an early exit. The Brazilians are sending proprietary green seedless grapes into the U.S. every week. For the domestic California fruit, both red and green storage numbers are off, as marketers have done an excellent job keeping fresh packed fruit moving through the system.”

Red and black seedless pricing expected to rise
The fresh supplies of the red seedless varieties are dwindling, and the USDA Cold Storage Report shows that there are 1.8 million boxes of Scarlets and 5.4 million boxes of other red seedless varieties left in storage. The black seedless has been moving well with fair to good conditions.

“Pricing on good quality Scarlet Royal currently range from $13.95-$14.95 on medium/large, $14.95-$15.95 on large and $15.95-$17.95 on x-large.  Some marketers are trying to fetch $1-$2 more for other red varieties like Scarlotta and Alison.” Greenstein remarks. Overall, the pricing for both the red and black seedless are expected to remain at level through Thanksgiving, and spike after the holiday into December.

Good quality hard to find on green seedless
The wet spring has created issues for the green seedless crop this year, and the quality is not what it was last year. The majority of the fruit is now being shipped from storage, rather than fresh. The organic season for the green seedless varieties has ended, and the Peruvian product won’t begin entering the market until December. Greenstein observes: “Overall organic from Peru is increasing each year but we won’t see enough fruit to meet the industry’s demand for another two years.”

Greenstein concludes: “Retailers will be hard-pressed to find high quality lots through December. Sunworld Autumn Crisp has fared much better and is fetching a premium compared to other green seedless.” There are good volumes of Peruvian green seedless currently on the water as well as Brazilian fruit arriving weekly. We can expect better quality when more mature lots start arriving in December.”

By Fresh Plaza

Though assessments are early, it seems as though approximately only 100 acres of avocados were affected following the recent round of California wildfires.

“It’s not as bad as we thought,” says Ken Melban of the California Avocado Commission based in Irvine, Ca. “If you’re a grower who was hit, then it’s bad. But as a whole, it’s about 100 acres affected and we have got roughly 50,000 acres of avocados in California. It’s quite a limited impact as an industry.” He notes that the trees that were largely affected were burnt and will likely need replanting.

The Maria fire affected largely the Somis area of California.

Over at Mission Produce Inc. based in Oxnard, Ca., Denise Junqueiro also agrees that the overall California crop was only slightly affected. “It’s been a horrific time for many,” she says, adding that the Santa Ana winds possibly played a larger role in fruit loss than the fire itself. “The winds that accompanied these fires for a substantial period of time seem to have put more fruit on the ground than the fire themselves,” says Junqueiro. “The volume loss from the wind is normally taken into consideration when handlers are doing their crop surveys but the industry now has to readjust.”

The wind factor
Winds also, of course, play a role in the travelling of fire and embers. “Embers are oftentimes the problem because they get carried by the wind,” says Melban. “They make their way in and the nice thing about avocado groves is the leaf litter. There’s a natural buffer against weeds and it helps build up the soil’s nutrients. But, in this context, it does present a higher risk because that leaf litter can catch fire and serve as fuel.”

Power shutoffs leave growers without water
What also remains a concern for growers is the role of the public safety power shutoff practices which are put in place during fire weather to reduce the risk of fire. Melban notes that avocado growers have been experiencing these shut offs quite regularly. “They get an alert when it’ll happen and they’ll do some extra irrigation,” he says. However, the shutoff power leaves many growers on hillsides without power to move water.

While that’s a concern the commission is looking into, in the meantime growers are hoping during this time of the season, for a significant rainfall to minimize any future risk of fire.

By Fresh Plaza

It is currently quiet on the lemon market. The South African season has already finished and people are looking back on record export figures this year. The Spanish season has just started with the Primafiori lemons, although the production volume is expected to be 20% smaller than last year. Market prices seem to be under pressure everywhere. In the US, higher prices are expected in the coming months due to a reduction of exports from Spain and Turkey. Meanwhile, on the European market, traders are trying to push lemon prices down.

The Netherlands: Supply now dominated by Spain
“The supply of lemons in the Netherlands is currently dominated by the Spanish Primafiori lemons.” There are plenty of them, although large sizes are not available yet. Prices oscillate between 13 and 13.50 Euro, with the extra quality reaching up to 15-16 Euro,” says an importer.

Germany: Turkey dominates stable lemon market
The supply from Turkey dominates on the German wholesale markets. There are also smaller volumes from Spain, South Africa, Cyprus and Italy on offer. The supply is sufficient to meet the current demand, traders report. Prices have remained generally stable, although they have also been reduced in some wholesale markets in order to promote sales.

There are some price differences between the various origins. Spain, Turkey and South Africa are almost at the same level, while Italy generally offers more expensive premium goods. Cyprus, on the other hand, is at the bottom of the price segment.

France: 15% lower supply compared to last year
A big share of the lemons that are traded in France comes from Spain. There is a lower supply available compared to previous seasons. A trader says that the volume has fallen by 15% compared to last year, although he says that this should not cause too many problems. The situation on the lemon market is stable. The fruit that is currently being traded is of good quality. The price for Spanish lemons on Rungis oscillates between € 1.50 and € 1.60 per kilo.

Spain: Price pressure on the market does not reflect the reality on the field
The Primafiori lemon seasom is currently underway in Spain and the harvest and export are on the rise, in line with last year. This is mainly due to the favorable market conditions for the second class fruit. Spain is the most important producer of lemons for the European market. This year, the fruit’s production is expected to amount to 1,110,000 tons, which is about 20% less than in 2018.

The purchase of lemons at origin is currently on the rise because production is expected to decline from February 2020. The prices then will therefore rise from 0.38 to € 0.45 / kg. However, the European market is pushing lemon prices down. The price at origin is not what traders are willing to pay for the product. Despite this price pressure, the processing industry is adjusting its prices to the reality in the field.

Italy: Great scarcity on the market
This year is a fairly unusual one for lemon growers in Italy. High production prices are the result of the small volumes available, which is due to the weather conditions recorded in February and during the spring. These circumstances did not lead to a lack of summer products, but to a shortage of Italian lemons. The prices of Sicilian lemons have reached staggering levels, with up to € 1.40 / kg for organic lemons and € 1.30 / kg for the conventional. The scarcity could lead to the season in Italy being very short. In addition to the weather conditions, growers in Sicily and the rest of the Mediterranean are also dealing with the “Mal Secco”, a fungal disease.

A trader from Campania reports that the supply and demand are not in balance with one another. “There has been a 50% reduction due to the spring weather this year. Current prices, depending on the format, range between 2 and 2.50 € / kg. These will probably fall as soon as the temperature drops in all regions.”

Turkey: High temperatures reduce lemon harvest
Due to high temperatures in the country during the flowering period, at least half of the Turkish lemon harvest has been lost. In some places, the losses amount to up to 60 to 70% of the total, according to a trader from the US.

South Africa: Looking back at a record in exports
The South African lemon season is over. The very last lemons have already been shipped. 331,500 tons of lemons have been exported this season, which is a new record. It is the equivalent of 22.1 million cardboard boxes (15 kg each), compared to the around 19.9 million boxes of the previous season. The most important export markets this season have been the Netherlands (41,000 tons), the UAE (38,000), Saudi Arabia (30,000), Russia (27,000) and the UK (21,000). This year there was an overlap with Spain. The season lasted longer than expected and the Verna production was also greater than planned. This reduced the possibility of South African exports to Europe, but the reduction of the lemon harvest in Argentina offered opportunities on the market.

According to many traders, sales have not been bad this year, but the shelf life has been shorter than usual due to various factors, such as the weather, the post-harvest treatments and some logistical reasons. The price for high-quality lemons met previous expectations. There were, however, quality problems in various regions, such as the Eastern Cape.

China: A big supply ensures low prices
The new lemon season in China started in September. In Sichuan, the largest production area, it began in early October. The harvest this year has been subject to heavy rains. As a result, the quality is somewhat lower this year, with a particular impact on the color of the lemons due to ripening issues caused by the rains. The price is also low at the moment because a big supply has come on the market within a short period of time. In addition to selling on the local market, a lot is exported to Southeast Asian countries.

United States: Stocks are good, but imports are facing challenges
The first lemons in California are being harvested in the First and Third District. As a result, stocks are still small on the market. The supply of the larger sizes (75, 95 and 115) is still very scarce. The market conditions were better last year, according to some traders. At this time, Mexico is usually at the end of its export season, but at the moment, the country continues shipping lemons to the US.

Imports from Europe will most likely fall due to an import rate of 25% on European products. Mandarins from Spain will no longer be available on the US market, but lemons will continue to arrive. Nevertheless, relatively fewer Spanish lemons will come on the market as a result of these measures. Spanish lemons will start being loaded for shipment next week. The reduction of the harvest in Turkey also plays a role. Yet the products that could be exported to the US market have already been loaded.

Imports are becoming increasingly attractive on the East Coast. Transport over the ocean is cheaper than with trucks from California. That is why more customers are interested in imported limes. All factors combined are likely to lead to higher prices in the coming months, mainly because the demand for lemons is often inelastic and consumers do buy them anyway.

Mexico: Exports going mainly to the US
This year, the season started in April and will continue until the end of December, perhaps even until the middle of January. The start of the season was somewhat challenging for Mexico due to an oversupply of Chilean lemons on the US market. North America is the most important export market for Mexican growers. There is also demand in Europe, but due to the longer transit times, exporters have a preference for the northern neighbor. The demand is also high enough to sell off most of the lemons.

Argentina: Step by step back into the US market
The lemon volumes are increasing every year in Argentina, although there have been some quality issues this year due to the excessive rainfall in the production areas. Transport by sea is sometimes cheaper from Argentina to the East coast of the US than by road from Mexico. After 17 years of absence, Argentina is trying to regain a position on the US market, where they have many protocols to take into account. People are cautiously optimistic about the volumes that they are now shipping to the US, with the focus primarily on quality over quantity. The most important markets for Argentina are the US, Europe and also Mexico.

Australia: Exports on the rise
November and December are traditionally the quiet months for Australian lemons. The largest stocks are imported around this time. Over the entire 2018 season, exports (including limes) grew by 67%, while the value of those exports increased by 26%. The most important export destination for Australian lemons is Indonesia (68%). Most imports come from the US. The Australian production also increased by 16%, but the value fell by 3%.

by Fresh Plaza

CENTRAL VALLEY – Last week, three California congressmen sent a letter encouraging the Trump administration to ensure citrus products are included in a tentative trade deal between China and the United States.

The U.S. and China have been working on an agreement that could end the 15-month trade war between the two countries. One part of the deal is China would agree to purchase $40 to $50 billion in U.S. agricultural products every year.

Kevin McCarthy (CA-23), Devin Nunes (CA-22) and Ken Calvert (CA-42) sent the letter to Robert Lighthizer, a U.S. trade representative who has been negotiating with Chinese officials, and encouraged him to include citrus as one of the products purchased by China under the new deal.

“China has historically been among the top five export destinations for California’s fresh citrus, a testament to our hardworking farmers and agricultural community,” McCarthy said in a statement. “It is vital that fresh citrus, primarily grown in California, is included in any Chinese purchases of American agricultural products.”

American and Chinese officials recently said they were approaching a finalized trade deal, which could be signed this month, according to a Politico story.

That $40-to-$50 billion commitment would be a major increase over China’s previous annual purchases. Before the trade war, China spent $24.3 billion on U.S. agricultural products in 2017, and exports to China peaked in 2016 at $25.5 billion. In 2018, amid the trade war, exports dipped to $13.4 billion, according to the American Farm Bureau.

China is the second biggest buyer of Tulare County’s citrus exports, according to the county’s 2018 crop report. For oranges alone, China received 27 percent of exports in 2018.

Last season was one of the worst for California citrus, said Casey Creamer, president of California Citrus Mutual. This was partly due to retaliatory tariffs imposed by China amid the trade war. U.S. citrus producers currently deal with a 75 percent tariff rate.

“We’ve definitely been impacted by the retaliatory tariffs from China. Last year, navel orange exports to China were down 36 percent,” Creamer recently said to The Sun-Gazette. “This was the worst season we’ve ever had, and while there are other reasons for that, the ripple effect from China was a significant one.”

Creamer said many of the details of this deal remain unclear, so it’s difficult to know what this deal would mean for citrus.

“If the retaliatory tariffs come off with this deal, that’s great, but if not it doesn’t do anything for us,” Creamer said.

During the upcoming shipping season, California citrus producers anticipate losing more than 50 percent in exports losses of more than 50 percent in exports to China and Hong Kong, McCarthy said in his statement and California Citrus Mutual confirmed.

In his statement, Nunes said it’s crucial the citrus industry maintains access to the Chinese market. Calvert said the citrus industry needs relief from the tariffs as producers continue struggling to sell their crops.

By A Report for America Newsroom

In new signs of progress toward a resolution in the U.S.–China trade war, both nations have agreed to roll back tariffs against each other and China signaled it would reconsider a ban on U.S. poultry products enacted after a 2015 bird flu outbreak hit the Midwest.

The Chinese commerce ministry, without giving a timetable, said the two countries had agreed to cancel the tariffs in phases.

A U.S. official, speaking on condition of anonymity, confirmed the planned rollback as part of a “phase one” trade agreement that President Donald Trump and President Xi Jinping are aiming to sign before the end of the year.

A deal over the first part of an agreement may be signed this month or next by Trump and Xi at a yet-to-be determined location.

Some have suggested it be in Iowa — which Xi had once visited, striking up a friendship with then-Gov. Terry Branstad, who now is Trump’s ambassador to China.

Thursday, current Iowa Gov. Kim Reynolds said no one had contacted her about such a meeting, but “I would be all about it” if asked.

“Even the national media, they’re talking about, ‘You know, he’s been to Iowa before and he has a relationship. He’s stayed there in the summer.” So they all know the narrative,” Reynolds said of Xi’s history with Iowa and his “old friend” Branstad.

“Most importantly, I want it signed,” the governor said in an interview. “I’m hopeful that it doesn’t fall apart and that we’ll actually see phase one signed. That will provide some positive momentum for them to continue.”

Dozens of other venues have been suggested for a meeting and signing, including London, where the leaders could meet after a NATO summit that Trump is due to attend Dec. 3-4.

Amid the signs of optimism, however, the U.S. Agriculture Department was preparing to roll out the second tranche of aid to compensate farmers for losses from the very same trade war.

“We’ll be getting it ready hopefully by the end of this month or early December,” Agriculture Secretary Sonny Perdue said Thursday.

The payments are part of a $16 billion aid package announced in May to be paid in three separate rounds after farmers saw a major export market for soybeans dry up with the trade war.

In another sign that a deal was not quite yet imminent, some White House advisers opposed the idea of rolling back tariffs on China, arguing it would diminish the U.S.’s only real leverage.

The Chinese Communist Party is trying to “re-trade” an earlier handshake of elements of a possible deal, said Stephen Bannon, former White House adviser.

Trump last month outlined the first phase of a deal to end the trade war with China and suspended a threatened tariff hike. But officials on both sides said then that much work needed to be done before the pact would be finalized.

By The Gazette

China appears to have rescinded its cryptocurrency mining ban, months after the country’s officials even contemplated eliminating the entire industry.

Initial Coin Offerings, or ICOs, have been banned in China since 2017, forcing leading crypto exchange  Binance to move operations to Malta. The prohibition on ICOs also affected crypto trading platforms.   

After months of conflicting signals on cryptocurrencies that started with the National Development and Reform Commission’s attempts in April to  phase out bitcoin mining, China seems to have a complete change of heart. The latest edition of the state regulator’s Industrial Structure Adjustment Guidance Catalog shows that crypto mining is no longer an industry the country wants to remove.

This drew cheers from Blockstream CSO and Pixelmatic CEO Samson Mow:   TOP ARTICLES5/5READ MORETwo Dead, At Least 150 HomesLost In Australia Bushfires

“China’s National Development and Reform Commission has removed #cryptocurrrency mining from the list of industries they want to eliminate. Bullish for #Bitcoin.”

Embracing Blockchain

China, a preeminent manufacturer of mining hardware and a leader in controlling the BTC networks, tried to stop the activity in April but soon rumours started floating around that the country was planning to launch a Chinese cryptocurrency — a digital version of the yuan that will be distributed to seven large institutions in China, which include Alipay and Tencent.

In September, Chinese authorities reportedly issued a notice to Inner Mongolia to put an end to their mining enterprises.

However, in October, China seemed to be a little more approving of cryptos when President Xi Jinping said research into the blockchain technology should be fast-tracked.  

Mati Greenspan, a senior analyst for eToro, told Forbes, “The announcement from Xi Jinping that China should ‘seize the opportunity’ of blockchain was a watershed moment for the industry.”

“It has put the issue of payments at the forefront of the global trade war and has served as a huge endorsement for the entire crypto industry,” he added.

No more ban

With the threat of a Chinese crackdown waning, Bitcoin bulls are rejoicing. Could there be more demand for the world’s most popular digital token in the coming months? And, is this what Binance CEO Changpeng Zhao is talking about? The 1.4 billion people he mentioned in his tweet?

By International Business Times

Mexico’s apple crop is up this year, but U.S. apple exports to Mexico could increase anyway.

The U.S. Department of Agriculture’s fresh deciduous fruit annual report for Mexico said although Mexico’s apple output is up 24%, the removal of the 20% tariff in May 2019 could boost U.S. exports there.

The tariff was in place for nearly a year, as a retaliatory measure against U.S. tariffs on Mexican steel and aluminum. Mexican imports of U.S. apples fell nearly 16% during this period in comparison to marketing year 2017-18, according to the USDA.

Mexican consumers remain price sensitive purchasers of fruit, according to the report.

With lower apple prices for marketing year 2019-20, the report said apple consumption in Mexico is expected to rebound, resulting in a slight decrease to pear consumption.

Mexican grape exports are forecast at high levels for marketing year 2019-20, according to the report.

The state of Sonora accounts for 85% of total table grape production in Mexico, and and 77% of the total planted area. Sonora has increased plantings over 20% in the last three years, according to the report.

By The Packer

U.S. fresh market apple inventories on Nov. 1 are 15% above year-ago levels, according to the first storage report of the year from the U.S. Apple Association.

The report said fresh apple holdings on Nov. 1 totaled 132.1 million cartons, up 15% from a year ago.

Meanwhile, processing holdings were 47.1 million cartons, up 23% greater than a year ago.  Total apples in storage, according to the report, totaled 179.2 million bushels, 17% more than last November’s total of 153.4 million cartons and 5% more than the five-year average for that date.

By The Packer

Timeless Prairie Orchard in Winthrop, Iowa, is located between fields of corn and soy as far as the eye can see. Apple farms are few and far between in these parts, but there is one: Dave and Susie Differding’s orchard.

Last season, Dave Differding found himself struggling to sell to regional grocery chains, after years of solid sales. Without those grocery sales, they lost $40,000 last season and expect to lose at least the same this year. Getting to the root of this issue requires zooming out, to look at not only the national apple market, but also at the relationships between the domestic fruit industry and buyers abroad.

As increased tariffs hit American products apple farmers are among those getting hurt. The tariffs come from countries including India and China in response to U.S. tariffs on steel, aluminum and other goods. Today, 60 percent and 70 percent tariffs are imposed on U.S. apples sold to China and India respectively.

The Differdings have never exported their apples. And they don’t plan to. But Jim Bair, CEO and President of the U.S. Apple Association says that doesn’t necessarily preclude farmers from feeling the trickle down impact of tariffs.

“Even if you’re not someone who is directly involved in exporting, you’re still impacted by the prices because those apples that would have been destined for export markets stay in the United States,” Bair says. “They overhang the market and depress prices for everybody.”

By Fresh Plaza

The Californian berry season is wrapping up later than usual due to mild temperatures. California Giant grows their strawberries in California, Mexico and Florida.

Cindy Jewell, the company’s vice-president of Marketing says: “The California season usually runs from January through October. Normally, at this time of year the rains have started and the nights have gotten cold, but we are still seeing really mild conditions now. The spring-crop is still producing fruit and is still being harvested, which is unusual for this time of the year. So, the California season has been really long this year which means that it should actually complement the Mexico and Florida season. Usually, there is a bit of a gap between the seasons but this year there will be an easier transition. Our harvest in Mexico and Florida will begin this week or next week, to complement the fruit coming out of California, and those seasons will run through the spring.”

Volumes down
While the season has run longer than usual, the volumes are down from last year. “Last year was a record year for the strawberries so that would have been difficult to beat. We have had enough fruit to keep the pipeline full and meet the customer demand. The demand this time of year is less than peak summer season, but it is a good market for both grower and customer. The prices dipped a bit last week, but have since recovered and we are seeing double-digit pricing right now,” Jewell explains.

While volumes were down a bit, the product’s quality held up. Jewell says: “The quality this season has been excellent. The amount of trays being harvested every day is declining because the days are getting shorter but the product looks good. The Mexico and Florida seasons are looking great so far as well, and we are expecting the winter-season for strawberries to be really nice. The varieties grown in Mexico and Florida are short-day varieties to accommodate the different geography and timing. Strawberries aren’t labeled with varieties though, so the consumer isn’t aware of this difference in the varieties. This might change in the future, as growers and packers try to distinguish themselves in the market, but we aren’t there yet.”

Organic strawberries
The company also grows a steady supply of organic strawberries, ranging from 10-15% of their total crop, to complement their conventional product. “There is a core-group of people that will buy organic year-round, but most consumers base their purchase off pricing, or quality rather than whether it is organic. We are seeing that for other berries, like blueberries for example, the organic market is growing, but for strawberries it has remained pretty static” Jewell says.

Raspberry season extended as well
Raspberries, just like the strawberries, are also enjoying an extended season this year. “We are still producing some here in California, but the Mexican season is also kicking off. The majority of the raspberries come out of Mexico, with that season beginning right now, in November, and running all the way into May. This is a long season and we always see really good volumes and quality coming out of Mexico. This is an area that we are growing in, and it’s really well-received by our trading partners.”

Year-round raspberry supplies
The raspberry season this year has been good. “Raspberries continue to be a customer favorite, and in the past we only had our California crop so we couldn’t supply year-round. Now that we’ve added our Mexico crop we are able to produce and supply year-round. This is our third season of the Mexico crop and we’ve been adding volume each season to meet the rising demand. Retailers prefer having a one-stop shop, so having the raspberries as part of our year-round offering has been really well-received,” concludes Jewell.

By Fresh Plaza

The Australian Table Grape Association is putting new minimum maturity standards in place to coincide with the 2019-20 harvest. The association says the new standards are aimed at giving consumers confidence to buy more table grapes.

It says it’ll ensure most Australian table grapes bought from major retailers will be fresh and sweet, providing consumers with a consistently good eating experience.

By Fresh Plaza

Most European countries have a reasonable production, with Poland as a major exception, as the volumes there have dropped by no less than 40%. For their part, China, South Africa and the United States are all happy with the current season and satisfied with their volumes. There is some uncertainty regarding exports. The Indian boycott on Chinese apples has been in place for almost two years, and the Russian embargo is still having an impact on the global market. According to exporters from various countries, Brexit has so far changed little when it comes to exports to the United Kingdom.

The Netherlands: Good sales, but no remarkable volumes
Apple prices in the Netherlands are stable for the time of the year. Whereas in other years prices have fallen sharply after the campaign’s opening sales, this hasn’t been the case this season. In the end, good volumes have been harvested. The apples of the latest harvest haven’t completed the coloring process, but all in all, the quality is looking a lot better than last year.

A top fruit trader said that it is important for growers to remain willing to sell in order to prevent market stagnation. In the Netherlands, apple sales are increasingly focused on the domestic market. Retailers prefer signed agreements and are no longer interested in suppliers who can exceptionally offer them cheap fruit. Traders believe that the requirements of retailers have become extreme. Class I batches are often no longer enough for supermarkets. The product should look almost perfect, and that will certainly become more difficult towards the end of the season.

As regards exports, Germany is purchasing a stable volume; the United Kingdom too, despite the uncertainty caused by the Brexit situation, and Scandinavian purchases have been slightly more important than in previous years. An exporter denounced the nationalist approach in markets such as Germany, with distribution centers from the Ruhr region taking apples from the Bodensee region, but skipping the Dutch ones.

Germany: Undersized harvest, various long-term investments
In Germany, almost all cultivation areas report a moderate to slightly below average harvest; nevertheless, a sufficient volume from the domestic harvest is still available. The German Elstar, Jonagold and Boskoop dominate the supply, which is complemented by the Tenroy, Braeburn and Cox Orange. The Kanzi and the first Jonagored from the country’s own harvest can also count on a good demand. Some smaller volumes from the Netherlands, Italy, France and overseas are also traded.

There are some interesting developments underway in the German growing areas. Firstly, the organic acreage is steadily expanding, in particular on Lake Constance and the northern German growing area of Altes Land. The Colina and Deljonca varieties in particular, but also the relatively new Natyra, are gradually gaining ground. The Wellant apple is on the rise in conventional cultivation, particularly in northern Germany. “Given the rising demand, this apple is currently being planted on a large scale in Altes Land, near Hamburg. In terms of price, this apple represents the perfect balance between the most popular varieties, such as the Elstar, and the club apples,” said a Northern German wholesaler.

Austria: Harvest is going well, with smaller sizes
In Austria, the sector is not dissatisfied with the harvest so far. Due to the cold spring and the subsequent heat wave, the size of the apples is predominantly below average for each variety. This also applies to the Gala (the main variety), with a current average diameter of 65-70 mm.

Sales in the wholesale market are still going as expected. The price of the Gala has increased from 0.61 Euro / kg to 0.64 Euro / kg and is therefore almost at the same level as last year. The Golden Delicious has become 19% more expensive compared to last month and reached the highest price level in eight months (0.57 Euro / kg). The Kronprinz Rudolf has recorded a 9% increase compared to last year’s price. The Idared and Jonagold, however, have been sold for relatively cheap prices in order to keep sales going.

Agrarmarkt Austria currently reports a total of 10,900 tons of apples for storage (organic + conventional). Two thirds of these are Jonagold, Golden Delicious and Idared, with the latter expected to be completely sold out before the new harvest arrives.

France: Good market for organic and export
The conventional apple market is quiet in France. There is still a lot of fruit from the third harvest available, which is resulting in a more aggressive supply. The picture is more positive on the organic market. There is good dynamism since the start of the season, and this market is still growing. French apples are also booming in the field of exports. There is good demand from both Asia and Europe. Importers from the United Kingdom don’t yet appear to care much about Brexit and still guarantee a stable market.

Italy: Average harvest
The most important growing area for apples is the Val di Non area (Trentino / Alto Adige region). The plantations there are located 200 to 1,000 meters above sea level. The harvest for the 2019/2020 season is average, although some growers are experiencing a slight decrease (10-15%). Thanks to the temperature differences between day and night, the Fuji variety has a perfect color. The Melinda Consortium, one of the most important and best-known brands, is trying to make its range stand out by introducing new varieties. A few days ago, the brand presented six new red-skinned apples. One of these also has red flesh. The names of the new varieties are SweeTango, Tessa, Gradisca, Morgana, Galant, Isaaq and UEB6581.

Poland: Low volumes and high prices
Due to the frost in May, the Polish production volume is falling by 40%. The Idared, Ligol and Jonagored varieties were the most severely affected by this. In the meantime, the demand has remained the same and this is leading to higher prices. Polish apples are just as expensive as the Italian ones at the moment, so now it all comes down to quality. In this regard, Italy is still better, but according to a grower, this could change within a few years. Poland exports a lot of apples to Egypt and India. Together, these countries fill the gap left by the Russian embargo.

US: Large supply
The harvest in the US seems bigger than last year’s, although there are considerable differences between the varieties. The domestic demand for apples is growing and the supply comes mostly from the retail. Exports are also starting to get going, particularly to South and Central America, Asia and the Pacific Rim. The total quantities at the latter destination are somewhat lower than normal. It is important for exports to get off to a good start. If not, the market may have to deal with some oversupply. Given the high volumes, prices are lower than at this time last year.

China: Limited volume of quality apples
The new apple season has started in China. This year, there is a big harvest, but the quality of the apples is not always good. Thus, the volume of quality apples is limited. The price is expected to remain low this year, given the large volume. Last year, the price was very high because the harvest was badly damaged and the supply was limited. This year, things are looking very different.

In terms of exports, a lot is shipped to Southeast Asia. Normally, shipments also go to Europe and the US, but due to last year’s high prices, very few have done it this time. Exporters hope that the conditions will be better this year, as the prices will be a lot lower. The Indian government’s ban on the import of Chinese apples has now been in place for almost two years. Many exporters hope that it will be lifted soon, as India used to be an important export market for China. In addition to India, Russia has also banned the import of Chinese apples this year.

South Africa: Positive outlook
It is still early in the season; the blossom period has just ended on the Cape, but things are already looking promising in a number of areas. In other places, it is a bit drier, but in general, the weather conditions on the Southwest Cape are fine.

Next week, growers will have to deal with the “November drop” phenomenon, during which part of the apples will fall from the tree. Only then can a good estimate of the total harvest be made.

The first South African apples are harvested in December in the northern province of Limpopo. Those are followed by the apples from the eastern part of the Free State province. The prices are expected to be good. In South Africa, the apples currently consumed have been coming from storage for a few months, but these volumes only represent a fraction of what is produced in the Cape.

Australia: India is a potential market
The Australian apple sector sees a lot of potential in India. It is a large country that is developing economically. Partly thanks to the growing demand for quality products, India could become an interesting market in the coming five years. Apple and Pear Australia Ltd (APAL) recently visited the country and found opportunities to export branded apples. Varieties such as the BRAVO™ and Pink Lady® could be very successful here.

After achieving success in the US, the Cosmic Crisp® apple is now also being launched in Australia. This is happening thanks to an exclusive agreement between Red Rich Fruits and Proprietary Variety Management. The Pink Lady dominates the market, with a 41% share, followed by the Gala (23%) and the Granny Smith (18%).

According to Hort Innovation statistics, between June 2017 and June 2018, 315,185 tons of apples were grown worth $ 465.3 million. This is 6% less than the year before. Exports rose by 2% in the same year to 5,060 tons; nevertheless, the export value fell by 12%, to $ 11.3 million.

By Fresh Plaza

The worldwide production of avocados is around 4.2 millions of tons per year and Colombia is the fourth largest avocado producer in the world, producing roughly 5% of the global avocado production and it holds an excellent exportation potential.

However, sales are limited in some markets due to deficient practices for the control of diseases in the primary production and low post-harvest quality standards. At least 20–40% of annual losses of avocado crops are caused by pathogenic fungi and the chemical treatments are inefficient, cause environmental pollution and are increasingly restricted by international laws.

Scientists at the Institution University Colegio Mayor de Antioquia (Medellin, Colombia) have evaluated the biocontrol capacity of a bacterial extract to protect avocado fruits and plants from pathogen infections.

For the work, the extracts from the bacterial isolate Serratia sp. ARP5.1 were obtained from liquid fermentations in a bioreactor. A body rot postharvest infection model with Colletotrichum gloeosporioides on fruits was developed. Packaging conditions were simulated using the bacterial extract and the commercial fungicide prochloraz as a positive control. Seedlings infections with Phytophthora cinnamomi were performed on two types of avocado (West Indian race and cv. Hass). The Area Under Disease Progress Curve (AUDPC) was calculated using the bacterial extract and a commercial product with fosetyl-aluminium as treatments.

“The bacterial extract significantly reduced infections by C. gloeosporioides on injured avocado fruits at 31.1 µg/mL. At the same concentration, also the intact fruits were protected against body rot infections and no significant differences were found with the commercial fungicide – the scientists explained. On the other hand, AUDPC in the seedlings was significantly reduced with the extract treatment at 3 µg/mL compared to the control. However, a possible phytotoxicity effect of the extract resulted in the seedlings and confirmed by pathogen recovery and tests on Raphanus sativus seedlings. Finally, formulations of the extracts (emulsion and emulsifiable concentrate) were prepared, and bioactive stability was assessed for 8 weeks. The emulsion formulates demonstrated very stable bioactivity against P. cinnamomi“.

The results have confirmed that the bacterial extract and the emulsion formulate are promising for the control of avocado Hass pathogens. New bioproducts based on this type of active principles could be developed for the benefit of the avocado industry.

By Fresh Plaza

Brazil, Uruguay, Turkey and Egypt could join South Africa, Spain, Argentina, Chile, Italy, Morocco and Peru

More countries, including Brazil, Uruguay, Turkey and Egypt, are expected to join the newly established World Citrus Organisation, whose formation was confirmed this week in Madrid.

Speaking exclusively to Fruitnet, the two main architects of the group – Justin Chadwick, chief executive of South Africa’s Citrus Growers’ Association and José Antonio García, secretary general of Spanish industry body Ailimpo – said they were confident that other countries would join the six that have agreed to participate so far.

Representatives from Argentina, Chile, Italy, Morocco and Peru were present alongside Chadwick and García to explore how such an organisation might work at a special meeting held on the first morning of the Fruit Attraction trade fair.

They were joined by members of European fresh produce association Freshfel, which will coordinate and administer the new WCO from its office in Brussels, Belgium.

The group’s first official meeting will be held in Berlin next February during the annual Fruit Logistica exhibition, where they will focus on sharing ideas and boosting international consumption of all types of citrus.

“As Ailimpo we think we need to take responsibility and work for the future and forecast how the business is going to behave in the next 10-15 years,” García commented. “We cannot do that alone. We have to do that with our colleagues and our competitors.”

He added: “We have to promote consumption and we can learn from the experience of other countries in fighting diseases, like greening for instance.”

Dismissing as “fake news” the notion that the WCO would act as a lobby group to pressure the EU on market access issues, Chadwick said the need to address a recent decline in consumption of citrus around the world was a primary concern that the association would look to address,

“The fact that Spain is the number one [citrus] exporter in the world and we are number two makes us leaders in our sector when it comes to trade,” he explained.

“We’ve seen the formation of the World Apple and Pear Association, a world cherry association, table grape association, avocado association; we’ve also seen the market share in citrus is actually decreasing compared with these other products. There are good statistics on it that show sales going to avocados and cherries, for example.

“If you go back ten years and look at our share of the fruit basket then versus now, it’s definitely less.”

Joint effort

WCO’s main objective will be to facilitate collective action in the citrus sector, for both fresh and processed categories, it said in a statement.

“Most recently the sector has been faced with an extensive array of significant issues of global concern including growth in production, overlapping of seasons, changing climate conditions resulting in varied quality and biosecurity challenges, increased competition within the citrus category and between other fruit categories and food products as well as stagnating fruit consumption,” it continued.

“The WCO will facilitate member countries to better face these common challenges and identify opportunities for the collective benefit of the citrus sector.”

The association outlined its mission as follows:

• Discuss common issues affecting citrus producing countries.
• Exchange information on production and market trends to prepare for the next decade to come.
• Foster dialogue on policy issues of common concern.
• Identify and promote Research and Innovation projects specific to the citrus sector.
• Liaise with public and private stakeholders on citrus-related matters to highlight the importance of citrus producers and the need for a fair return.
• Promote the global consumption of citrus.

During the official presentation in Madrid, the Director General of Agricultural Production and Markets of the Spanish Ministry of Agriculture, Esperanza Orellana, congratulated the citrus sector for the initiative, emphasising the importance for Spain, leader in the production and export of citrus fruits, to be at the forefront of the project.

The Counsellor of the Region of Murcia, Antonio Luengo, also greeted the participants and expressed his support for the new organisation.

“It is important that the world citrus community works together to face common challenges and learn from each other,” he said, adding that, leaving aside the competitive factor, it was essential to share information and experiences for the collective benefit of the sector, which is of key strategic importance for Murcia and for Spain.

By Fruit Net

Domestic supplies of apples look to be up this 2019-2020 season.

“Right now, the supply base is absolutely enormous as should be expected,” says Jim Allen of Glenmont, NY-based New York Apple Sales Inc. “Everything—East Coast, West Coast–everyone’s picking but it’s kind of a typical year.”

He notes that in New York State, plentiful rain and sunshine helped grow better apple sizes this year, though there is less fruit on the trees. “We’re picking at or slightly above estimate due to size,” says Allen.

On the West Coast, Michael Saunders of Apple King LLC. in Yakima, Wa. estimates volume is up by 16 percent. “Supplies are coming from Yakima Valley, Columbia Valley and Snake River while competing apples are coming from the same regions as well as Wenatchee and upper Okanagan.”

“We’re going to be up this year,” agrees Jerry Wilkins of Jenks Bros Marketing Group LLC in Royal City, Wa. “The crop size is going to be large and overall quality is good. Our pack outs are much better than last season.”

Wilkins does note that as the season has gone on, sizes have increased. “The size profile is very variety-specific,” says Wilkins. “When we started on Royal Galas, the crop was 125s, 138s, 150s,” he says. “As we moved into the later Galas, the size has pushed up a bit to 88s, 100s.”

Variety notes
As for varieties, it’s a mix as to what varieties are up and what are down. On the West Coast, Fujis seem to be down slightly and Apple King’s Saunders notes that Royal Galas are also down slightly. As for increased supplies, Golden Delicious, Granny Smith, Cripps Pink and Honeycrisp seem to be up. “Cosmic Crisp is also being rolled out by Washington State University,” adds Saunders.

Meanwhile in New York State, Empire is down and Honeycrisp is as well, thought the sizing is better on the latter. “We’re a bit above on Royal Galas and some of the managed varieties such as SweeTango are down while Fujis are as per normal,” says New York Apple’s Allen.

Domestic vs. export demand
Though with such an ample crop, the demand that is starting to grow is welcome. “We started off a little later than normal season wise which always pushes everything. But demand is building nicely,” says Allen.

“Retail demand is driving this right now. The spot market and or wholesale markets are not buying ahead of themselves,” says Wilkins.

Exports factor into the demand picture as well. “There are some export to the Pacific Rim and South and Central America,” says Saunders.

Wilkins adds that while the export business to markets such as Taiwan and Vietnam are solid currently, others are more price-sensitive. He also adds that the Pacific Rim overall numbers are down.

There’s also the bigger question around the role of imports given what this year’s crop looks like. “If those exports aren’t as strong as they need to be, then that’s concerning for the domestic crop regarding a possible oversupply,” says Allen.

The pricing picture
Not surprisingly, prices are softer right now and lower than at this time last year. “Across the board, pricing is down because of the supply,” says Allen. “Honeycrisp is one of the lowest prices we’ve seen ever.”
Looking ahead though, the industry may have to wait to see what the end supply is before it can have a true picture of what the market will look like.

“In the next few weeks, prices will stabilize as harvest comes to a close in Washington as well as mid-West and East Coast,” says Saunders, who has adds that the industry is dealing with a few more challenges right now: namely, the fact that per capita consumption of apples is static and for the market, there are many bi-colored varieties that look alike, which also could be challenging in an attempt to grow the category.

By Fresh Plaza

Japan recently agreed to cut tariffs on agricultural and industrial products from the US under a new deal between the two countries. The agreement, which was announced by President Donald Trump and Japanese Prime Minister Shinzō Abe in late September, comes as the agriculture industry continues to suffer during a trade war between the US and China.

The deal will assist many California crops, especially citrus. Casey Creamer, president of California Citrus Mutual in Exeter, said this removes the competitive disadvantage citrus faced in Japan with other global producers.

The deal will benefit more than just citrus. Tariffs on over 90 percent of food and agricultural products from the US to Japan will either be reduced or eliminated, according to a fact sheet from the Trump administration. Under the trade deal, each commodity was negotiated separately, so tariff reductions will vary crop to crop.

The agreement will immediately eliminate tariffs on almonds, walnuts, blueberries, cranberries, sweet corn and broccoli. Tariffs will be eliminated in stages for products such as oranges, cheeses, processed pork, poultry and wine, according to the fact sheet.  

By Fresh Plaza