Chilean Prunes Update 27.02.24

Amidst favourable climactic conditions experienced in the fourth quarter of 2023, the latest harvest of Chilean dried prunes boasts exceptional quality, even with a slight reduction in sugar content. Despite a minor delay in the crop's schedule, the volume remains consistent, aligning closely with forecasts mirroring that previous year's output, estimated at approximately 55-60KT.

Notably, China emerges as a lucrative market for Chilean prune exports, offering competitive prices that incentivise substantial trade. With a preference for natural produce, Chile strategically directs the majority of its fruit to this burgeoning market. Projections indicate a promising uptick in demand from China, with estimates suggesting purchases in the range of 15-20 KT for the current year. This figure represents a significant portion, approximately one-third, of Chile's total prune production, underscoring the nation's strategic focus on expanding its footprint in this pivotal market.

Reflecting on recent trends, it's worth noting the evolving dynamics of prune pricing. While the industry witnessed consecutive years of price decline, 2023 showed signs of stabilisation. Building upon this momentum, stakeholders are cautiously optimistic about maintaining a more balanced pricing landscape in the upcoming season. Such anticipation stems from a combination of factors, including market demand, supply chain resilience, and ongoing efforts to optimise production efficiencies.

The outlook for Chilean dried prunes remains buoyant, fueled by promising market opportunities and enhanced product quality. As the industry navigates through shifts in consumer preferences and market dynamics, stakeholders are poised to leverage strategic initiatives to sustain growth and profitability in the competitive landscape.

via G Buttner & Co