The Spanish Grape crops are developing naturally and smoothly. If the weather conditions do not adversely affect the harvest, good production is expected during the months of August and September.
Due to the strong demand for the product during this season, the availability of raw material for the production of juices is very limited and prices have risen considerably.
From January 2021 to July 2021 there has been a high level of demand for products from markets that are traditionally supplied from Argentina.
Nobody knows how the new campaign in Spain will develop, but everything indicates that prices will be much higher than those we have seen in this current 2020-21 season.
The 2021 grape crop in Argentina is almost finished. Production of juice concentrate is expected to be between 115,000-12,000 MT – around 10% below last year’s output.
The pandemic has presented no problems regarding picking and processing, but there are some problems sourcing containers at the ports.
Raw materials were relatively expensive during the crop and this is reflected in offers for concentrate which are between USD1500-1700 / MT 68 brix white FOB Buenos Aires in drums, compared with USD1550-1600 / MT last month.
Both Argentina and Chile are expected to pack only limited quantities of red concentrate this season. Producers in Argentina say that demand has been slow due to the higher pricing and concede that buyers could probably find cheaper juice in Europe. They add that they have lost sales in their traditional markets of the US and Canada for this reason.
Grape juice concentrate exports from Argentina so far this year are at 22,800 MT
(January-March 2021), against 27,500 MT during the same period in 2020.