Stable values in a slow market

The 2008/09 orange crop from Sao Paulo state is projected to decrease 17 percent from the previous season, according to the latest USDA report. Even though, domestic prices have kept stable.

Orange juice processors have been purchasing few volumes in the spot market, once most part of fruits have not reached the ideal point of maturation yet. Prices of the hamlin and pera varieties delivered at plants remained unchanged, between 10.00 reals or 6.29 dollars per box of 40.8 kilos and 12.00 reals or 7.55 dollars per box.

In the fresh fruit market (wholesale of Sao Paulo city), from June 30th and July 31st, the pera increased slight 0.44 percent in Real, averaging 11.28 reals or 7.23 dollars per box of 40.8 kilos, on tree, on Jul 31st. According to agents, a larger number of trades should occur in Sao Paulo's orange market from August on, due to the hot weather and the higher supply. Most part of the fruits is expected to reach the ideal point of maturation until September. For a while, the cold weather keeps limiting trades.

The drought weather in all Sao Paulo state is concerning citrus growers. Until the moment, the quality of the orange was not damaged. However, in a near future, rains are necessary to guarantee ideal maturation, weight and size of the fruits. (Cepea - Brazil)


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