The high price increases in the costs of inputs such as electricity, fertilizers and chemicals used in agricultural production continue. The price increases of 60-90% in fertilizer prices compared to the previous year worry the producers in Turkey.
Due to the extremely hot weather conditions experienced during the flowering period of the trees in May 2020/2021, orange production, which was 1.7 million tons in 2019/2020, is estimated to decrease by 23% to 1.3 million tons .
Due to this low yield expected in the 2020/21 season, orange exports are expected to decrease by 510 to 263 thousand tons compared to the previous season, while tangerine production is expected to increase by 14% to 1.6 million tons .
Turkey made a good start in tangerine exports to Russia , Ukraine and Iraq in the 2020/21 season. As of April 2021, Turkey exports to these countries by 8 % more compared to the same period of the previous year; It sold 890,595 tons of tangerines.
In 2020/21 season, orange consumption is expected to decrease to 976,000 tons due to low production expectations. Consumption has been declining continuously for the last three years due to low supply and high prices. Although consumption will rise temporarily in the winter of 2020/21 due to COVID-19, consumption is expected to be lower than in the previous year due to low supply and high prices. In addition, the fact that restaurants, cafes and bars are closed during the COVID-19 epidemic is another factor that negatively affects consumption.
trade
In the 020/21 season, depending on the low yield expectation, orange exports are expected to decrease by 10% to 263,000 tons compared to the previous season. Total orange exports in the first six months of 2020/21 fell by 24% compared to the same period of 2019/20. Exports to Russia, which is Turkey's largest market for orange exports, remained stable in 2020/21 compared to the same period of 2019/20. However, exports to Iraq , which is Turkey's second largest market for orange exports, decreased by 45% compared to the same period of the 2019/20 season.
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At the beginning of 2021, the Ministry of Agriculture and Forestry mandated pesticide analysis on all exported oranges. According to Turkish producers, this necessity, which was not caused by the demands of the importing countries, caused a great decrease in the amount of exported oranges.
In addition, the producers believe that this decision was taken to reduce the supply of non-exportable oranges to the domestic market and the high domestic market orange prices due to low production.
With this application, orange prices in the domestic market fell in a short time, but the orange export market suffered during this time.
On January 7, 2021, the Ministry announced that they would remove this application upon the reaction of producers and exporters, and the application was removed 3 weeks later.
Orange, which is the third most important citrus product from which Turkey earns export income, decreased by 1.6% compared to the previous season and became 293,062 tons in the 2019/20 season.
For more and detailed information: Tup.pdf (windows.net)