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Market Data 05.06.2024

Brazil: Orange prices may increase again in the in natura market

After two months of price drops, orange values are expected to increase again in the in natura market in June. Processing activities are likely to be intensified, since more companies have started to operate, limiting the supply of fruits in the in natura market.

Brazil: Orange prices may increase again in the in natura market
(Photo: AdobeStock_219195948)

After two months of price drops, orange values are expected to increase again in the in natura market in June. Processing activities are likely to be intensified, since more companies have started to operate, limiting the supply of fruits in the in natura market. Players say that, although the demand is usually lower in this period, since the weather is colder, the supply in the in natura market is expected to be smaller than the demand.

Orange prices already increased in the second fortnight of May, after the release of estimates of a lower output by Fundecitrus. Thus, many producers stopped harvesting fruits for the in natura market, preferring to meet the demand from the industry.

In May, the average for the pear orange was BRL 80.22 per 40.8-kilo box, on tree, downing 11.21 % in relation to April/24.

Although prices dropped from April to May, they are still at high levels. In addition to the forecast of a small crop, low stocks of orange juice have been boosting the industrial demand for fruits.

Tahiti lime

The supply is expected to continue limited in June, due to the below-average volume of rainfall. Colder temperatures have concerned producers, since this scenario may result in characteristics that purchasers disapprove, especially in the international market. In May, the price average was at BRL 32.62 per 27-kilo box, harvested, 18.96% up compared to April.

Ponkan tangerine

Prices may move up in June, especially from the second fortnight on, when the supply in São Paulo tends to decrease. Moreover, the fruit can be a good alternative for orange and other fruits, which are presenting higher quotations. On the other hand, the demand is likely to decrease due to the cold weather, limiting more significant price rises.

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