As stocks of Pineapple Juice Concentrate (PJC), especially in the US and Europe, diminished fast in every points of the supply chain, the demand has started to pick up again and might in turn drive the fruit price up in a later stage.
Current PJC’s price delivery from Thailand to Europe and US is quoted at FOB $2,100 – 2,150/MT which increased 12 – 13% from July. Meanwhile, the Philippines price also shifted up to be in line with Thai at FOB $1,900 – 2,100/MT.
On the other hand, pineapple raw material situation has been recovered slowly comparing to shortage situation during 2019 to 2020 which made many packers cut down their production capacity. Current fruit supply is around 4,500 MT per day only which is considered to be around half of normal supply during this time of the year. Nevertheless, considering current situation where there is labor shortage issue due to Covid-19 restriction and warehouses are still full of inventory as a result of ocean freight crisis, the supply seemed to be sufficient and match what industrial needs.
Price of pineapple raw material is slightly dropped from 8.00THB/kg in early Octoberto be around 6.50 – 7.00THB/kg. While Industry does not see a strong demand for canning side, one source said that fruit price might go up if Thai packers ramp up the production capacity in order to pack more aseptic PJC to serve worldwide demand.
References:
Vladimir, P (2021). Market Briefing:Beverages. IHS Markit.
Estela,C. (2021). Market Briefing: Canned and Tomato. IHS Markit.
Estela,C. (2021). Thai pineapple harvest volumes and prices falter. IHS Markit.
