Peruvian ginger faces phytosanitary challenges impacting export competitiveness, even as production areas increase by 40 to 50%. Prices are expected to decline due to greater supply and competition from Brazil, despite high current prices. The industry is enhancing sanitary controls to address Ralstonia bacterium concerns, while demand for ginger remains strong in the U.S.
The Peruvian ginger industry faces potential challenges due to phytosanitary concerns that may impact its export competitiveness. As more acreage is planted—an increase of 40 to 50%—the market anticipates a shift in stability, especially in light of competition from Brazil. Grober Galindo, a representative of La Campiña, highlights that the industry’s adaptability to these issues will significantly shape its future market position.
The previous 2024 season was characterized by high prices and raw material shortages but is expected to change as planting expands. Galindo notes, “The 2024 season ended early due to low sowing and the presence of Ralstonia, which generated fear in exports to Europe. Many producers increased their cultivation area this year, but without considering that these high prices were a consequence of the shortage.”
Increased ginger planting suggests enhanced market availability, likely leading to lowered prices. Currently, the wholesale price for a 30-pound box is $38 in the United States, which is atypically high for this period. With the influx of Brazilian products and augmented supply, prices are anticipated to decrease. Galindo remarks, “Buyers in Europe and the United States know the numbers and adjust their purchases according to supply. Brazil remains a strong competitor with better logistics that reduces costs.”
The industry grapples with the threat posed by the Ralstonia bacterium, which has raised concerns regarding export quality to Europe. As Galindo stated, “It can appear in the product’s very early stages and, if detected in a container, it must be incinerated, representing a great loss for exporters.” In response, Peruvian companies are enhancing sanitary controls and collaborating with agencies such as Senasa and INIA to mitigate potential outbreaks.
Despite these obstacles, demand for Peruvian ginger remains robust, with efforts to explore new markets in the United States and diversify offerings, including fresh ginger and ginger juice. Galindo emphasizes, “Exports to Europe remain a challenge due to this market’s strict phytosanitary standards.”
For further inquiries:
Grober Galindo
La Campiña, Peru
Phone: +51 994 412 070
Email: [email protected]
Website: https://lacampinaperu.com/
In summary, while Peru’s ginger sector anticipates increased planting and competitive pressure from Brazilian imports, challenges such as phytosanitary issues and market volatility remain pertinent. The industry is actively addressing these concerns through enhanced controls and collaboration. Although demand for Peruvian ginger is stable, adhering to export standards, particularly in Europe, continues to be a significant challenge.
Original Source: www.freshplaza.com
