Walnuts: Low Production and Rising Competition Affect Chilean Exports - Chile's walnut exports have faced a significant decline this season, primarily due to lower production and increased competition from the USA and China. The downturn in exports to key markets like India and Turkey highlights the challenges faced by t

Walnuts: Low Production and Rising Competition Affect Chilean Exports

1 year, 2 months ago.

Walnuts: Low Production and Rising Competition Affect Chilean Exports

Chile's walnut exports have faced a significant decline this season, primarily due to lower production and increased competition from the USA and China. The downturn in exports to key markets like India and Turkey highlights the challenges faced by the Chilean walnut industry.

Slump in Exports

Chile’s inshell walnut exports have decreased by 46% in the first three months of the 2024/25 season, amounting to just below 28,000 metric tons (mt). India, once a booming market, saw a drastic 60% drop in imports from Chile. Despite this, India remains a crucial market for Chile since 2018. Exports to Turkey also fell by 56%, while Italy saw a modest increase of 9%. Shelled walnut exports from Chile also declined by 20%, with Spain being the largest destination, though shipments there were down by 10%.

Quality is Key

The decline in exports is attributed not only to a smaller harvest but also to stiff competition from the USA and China. According to Chilenut, adverse weather conditions, including a warm autumn and winter, followed by a sudden hike in temperatures in spring, led to challenges in pollination and fruit set, resulting in a 26% decline in production to 134,576 mt.

China has emerged as a dominant market leader, increasing competition for Chile, particularly in Europe, which remains the most crucial market for Chilean walnuts. Inshell walnut exports to Europe increased by 20% to 7,753 mt, while shelled walnut shipments
decreased by 1% to 4,023 mt.

Competitive Landscape

In recent years, China has solidified its position as a significant competitor in the global walnut market. Additionally, the USA has also ramped up its exports, posing further challenges for Chilean walnut exporters.

 

Impact on UAE Market

For Dubai-based businesses and consumers, the fluctuations in the Chilean walnut market may affect the availability and pricing of walnuts. Importers and traders in the UAE should monitor these developments closely to adapt to changes in supply and competition.


FAQs in the Walnut Market

Why have Chilean walnut exports decreased this season?
The decline is primarily due to lower production caused by adverse weather conditions and increased competition from the USA and China.

Which countries are the largest importers of Chilean walnuts?
India, Turkey, and Italy are significant importers, though exports to India and Turkey have seen considerable declines this season.

How has the competition affected Chile’s walnut market?
Increased competition from the USA and China has made it challenging for Chile to maintain its market share, especially in key markets like Europe.

What are the current export trends for Chilean walnuts to Europe?
While inshell walnut exports to Europe have increased by 20%, shelled walnut exports have slightly declined by 1%.

How can businesses in Dubai benefit from these updates?
Businesses can leverage Momex's shipment tracking services to stay updated on walnut shipments, ensuring timely deliveries and optimal supply management.

 

Aug. 11, 2024, 7:13 a.m..



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