Chile – China Cherry Trade is booming

Chile – China Cherry Trade is booming

It isn’t so long ago since we handled a fair number of containers and air shipments with fantastic Cherries for our Chilean customers and some European Importers.

The last 3 Years these volumes have dropped from approx. 35 containers to 1…. Which was not only the result of rain or frost in bloom time, or because a hail storm blew away the whole production. This hail storm is named China.

Europe loses territory to China but concerning the trade in Fresh Fruit it loses big time.

The Chinese pay easy $ 100 for a Box of Cherries which is more then double of what the Europeans are prepared to pay. Here the numbers will not be entirely correct but the situation stays the same.

Europe is no longer an interesting market for Chilean Exporters, the best money these days is made in China. A good example is the Cherry. Beautiful red, the Chinese eat them in large portions and also use them as give-away for special occasions. Just like Chocolates or a bottle of Whisky. Gifts that shows the status of the person that presents the gift and also declares the importance of the person who receives it.

One is very busy harvesting and the shipping of the Cherries to Guangzhou and Shanghai is on the way. Santiago was over loaded with Chinese Buyers early November. Some of them almost literally with bags full of dollars to choose the Cherries and pay form them in cash… to be sure of supply.

Demand is much higher then supply, prices are skyrocketing. But, what if the Chinese Cherry market collapses ? Will Europe then be back in business again ? At their conditions ?

Well, they say here in Chile, that doesn’t look like it now and when it happens…we’ll see… But in the meantime….

LBP visited the PMA Fruittrade in Santiago November 9 and 10 – we had our Booth and expected a big audience to the show in general and our stand in particular. Number of visitors disappointed somewhat but Chile was, and is, fantastic as always.

Anton Filippo. Nov. 2016