Apricot Update May 10, 2021

· Exports in April were 7,138 tons compared to 7,084 tons last year.

· Year to date exports are 72,758 tons compared to 82,811 tons last year.

Exports were strong in April, and order books for May are also looking good, though the long holiday this week may slow things down a little. We expect to enter the new season in August with minimal carryover, it will be a tight transition. Buyers will want to lock in supply for the year, and packers will be reluctant to take large contracts until they can cover themselves.

Freight rates continue to rise as shipping companies take advantage of the shortage of equipment. USA freight rates are now $7,000 to $9,000 per container, compared to less than $2,000 last year.

The lira has stabilized and has traded in a range between 8.15 and 8.30 during the past month.

More Frost

Over the past weekend there was a major storm bringing gale force winds which caused some damage to orchards.

Following the storm there was a frost at higher altitudes, causing significant damage to developing fruit and even freezing leaves causing both to fall off. Damage was reported in Kuluncak, Hekimhan, Darende and Akcadag.

These late flowering areas had escaped earlier frosts in March, and were looking very promising prior to this weekend.

We can’t predict the level of damage at this stage, but it now seems likely we will have a similarly tight supply situation as the previous season. Entering the new crop with no carryover and a small crop, all eyes will be on the support prices offered by the government backed TMO which will set a floor for the market.

With prunes also very tight this year its going to get interesting!

Turkey is closed from tomorrow to the 17th of May for national holidays.