Chilean prunes experienced two years of very good international prices – with some records in 2022 – as a result of the decline in production in California, France and Argentina, given weather phenomena, as well as an increase in Chinese demand.
Now, in 2024, we have tried to maintain the good prices of recent years, but that will undoubtedly be difficult to maintain and we are already returning to the prices we had prior to this boom, indicates Bruno Ceroni, manager commercial of Goodvalley, an associated company of Chileprunes.
However, he says, medium-term expectations remain promising for this industry. On the one hand, there is China, always demanding dehydrated and fresh products, although there is significant competition with Uzbekistan, which generated shipments to that country, very similar to those of Chile, around 20 thousand tons. In 2023, Chile exported 18.2 thousand tons to the Asian giant.
Another market that looks very positive for Chile in the near future is India, even though in the short term, there is strong competition from dates and other dehydrated products, which is very popular in that country, says Bruno Ceroni. But “just as it was with China, where we went from 4 thousand to almost 20 thousand tons in 9 years, in the medium term, we hope to see the benefits for the Chilean prunes industry in India; “The change does not happen overnight.”
Another no small point is that a tariff reduction is expected on various products, beyond prunes, when President Gabriel Boric travels to India in August of this year. Until now, for prunes, a 22.5% tariff is paid, which in tax terms implies around 30 cents per kilo.
Since the second half of last year, after a public-private achievement, tenderized prunes have been allowed to enter India, without the need for fumigation with bromide prior to shipment. We are entering, says the Goodvalley executive, a market of more than 1.4 billion inhabitants. In addition, it is a healthy and good product for the elderly and children, something that is very relevant for this audience that gives great importance to a comprehensive diet.
Along with the two Asian giants, it is important to maintain the relationship with old partners such as Europe and Mexico, adds the expert.
Relevant actor
Chile is the main exporter of prunes in the world, with annual sales of around 75,000 tons, and a presence in 77 countries on all 5 continents.
Goodvalley projects for this year 6,000 annual tons of dehydrated plums as raw material entered into the plant, which after a process of discarding, sizing, cleaning and pitting, translates into 5,000 final tons, which are exported to more than 25 countries in everyone.
As a strategy in recent years, the company seeks more than an increase in the sale of prunes to more destinations, a diversification of its production, which includes nectars, juices, concentrates and other raw materials that make the production process more efficient.
In fact, important investments have been made in recent years, such as the incorporation of 6,000 m2 of paved patios for fruit storage that improve the operation and logistics of Goodvalley. These are added to another 10,000 m2 that the plant previously had.