Agri-Market Synopsis
Fresh Produce
“Fruit prices retained the recent uptrend on the back of tightening supplies across markets. Grape prices posted the biggest weekly gains, finishing last week up by a whopping 21% week-on-week (w/w) and 4.5% year on-year (y/y) at R45.87/ kg on the back of a sharp reduction in supplies.
They were followed closely by avocados and bananas with weekly gains of 14.1% and 13.4% respectively w/w at R19.81/kg and R9.17/ kg. Mangoes were however the exception and fell sharply by almost 28% w/w and 52% y/y at R4.95/ kg due to poor demand despite a sharp contraction in volumes across markets.” – Paul Makube, agricultural economist, FNB.
Beef
“Prices of chuck and brisket increased 2.4% and 3.2%, respectively, while the price of rump declined by 3.4% week-on-week. Average Class A prices increased 3.1% to R47.28/kg in the local market last week, while Class C prices rose 0.8% to R40.25/kg week-on-week. The local weaner calf price has been trading upwards in recent weeks due to high demand, with prices increasing 6.7% week-on- week.” – Abrie Rautenbach & Paige Bowen, economists, ABSA.
Grains
“The local maize market mostly found support on Friday and traded stronger for the day in most of the contracts of both white and yellow maize currently listed. The white maize market traded R49 / ton stronger for delivery in December 2020 for the day to close at R3 478 / ton. The yellow maize market traded R37 / ton stronger for delivery in December 2020 to close at R3 386 / ton.
The local wheat market traded stronger on Friday with all contracts finding support. The local wheat market traded for delivery in December 2020, R11 / ton higher to close at R4 944 / ton. ” – Ikageng Maluleke, agricultural economist, Grains SA.
Citrus
“2020 Estimate updated to 142,6m cartons and 1,786m pallets. Container exports are at 10,000 FEU higher YTD than 2019, expect a downturn from Durban but increasing from PE, Coega and Cape Town” – Citrus Growers Association.
“This year’s South African record citrus crop peaked early, and shipments to the EU are significantly higher to date than they have ever been. According to data presented to the Brief, to end week 35 South Africa had loaded 167K pallets more citrus to the N Cont, UK and Southern EU/Med in 2020 than it did in the corresponding time frame in 2019 – an increase of almost 30%. Almost all of the fruit destined for the EU will have already arrived by the time the protocol is implemented” – The Reefer Brief
