Brazil: Rains favour citrus crop development, but winds and hail concern

Rains in the second half of November favoured most producing regions in the citrus belt (São Paulo state and Triângulo Mineiro), supporting development of the 2026/27 crop and improving fruit quality for the 2025/26 season.

However, in several areas, rainfall came with strong winds and hail, damaging trees, fruits and flowers. Players surveyed by Cepea say the frequency of extreme weather events this year is a concern.

Prices

Despite the good fruit quality, in natura orange prices dropped in late November, pressured by the devaluation observed in the industry. Between November 24 and 27, pear orange in the spot market averaged BRL 38.44 per 40.8-kg box, down 1.82 % compared to that in the period before. In the in natura market, pear orange quotations decreased 5.29 % this week compared to the previous, closing at BRL 53.30 per 40.8-kg box. In the accumulated of the month, prices moved down 14.7 %.

Tariffs

The export sector of citrus products gained an important tariff relief in late November. The government from the United States exempted the additional tariff of 10 % for the orange juice. As for byproducts (essential oils, therapeutic byproducts and orange pulp), the 10 % tax continues, but they were exempted from the 40 % tariff.

This is good news for the sector, since it faces a slow pace of OJ shipments, especially to Europe. The European Union has been purchasing less than the usual. Therefore, the reduction of costs to send the product to the US market may favor sales of the Brazilian product, compensating the smaller demand from Europe.