Peruvian grape growers concerned consumers may replace grapes with cheaper fruits

Inflation has Peruvian producers and exporters on alert because table grapes are considered a non-essential product for consumers.

Gabriel Noboa, member of the Association of Producers of Table Grapes of Peru (Provid) and commercial manager of the Don Ricardo farm, told Agraria that growers are nervous and concerned on the part of customers and supermarket chains about how grape consumption will be affected by higher prices caused by inflation.

Noboa warns that “there is a potential risk that grapes are replaceable, since you can opt for cheaper products such as bananas. If you change the usual consumption of table grapes, purchase volumes will drop.”

Not only the inflationary crisis would cause the 2022-2023 campaign to be one of the most challenging for the sector, but also the logistics crisis, such as the rise in costs and freight, he said.

Delays in fruit deliveries have generated losses in sales due to the fact the delivery date is not met, to which has added to the fall in the prices of the returns.

Despite the challenges, Peru ranks second in the world in terms of table grape export volume and has more than 20,000 hectares distributed in various varieties such as Red Globe, Crimson, among others. In this line, Provid projects a growth of 11 percent in 2022-2023.

With shipments to more than 50 markets, led by the U.S., Canada, Europe, and the United Kingdon, Provid seeks to enter the Japanese market next.