South African citrus exports were 7 percent higher across all container terminals combined when compared to prior year volumes mid-season, despite global challenges facing the industry, Transnet Port Terminals (TPT) said yesterday.
Challenges facing the industry include soaring input costs, especially fuel and fertiliser, a major surge in shipping costs, ongoing operational challenges at the country’s ports, and the impact of the Russia-Ukraine conflict on trading patterns.
Despite this, TPT said it had handled more than 77 376 forty-foot equivalent units in the first half of the season across its container terminals in Durban, Ngqura and Gqeberha.
Actual citrus export volumes were 36 percent higher than the prior year at the Port Elizabeth Container Terminal; 13.1 percent higher at the Durban Container Terminal Pier 1; 6.1 percent higher at the Durban Container Terminal Pier 2; and 2.3 percent higher at the Ngqura Container Terminal.
The Cape Town Container Terminal, which plays a supporting role during this season, also recorded a 6 percent increase in refrigerated container volumes, which include citrus exports.
Michelle van Buren Schele, TPT general manager for Commercial and Planning, said the citrus readiness plans had focused on employee resourcing, maximum stack capacity, industry compliance with the truck appointment system and increased terminal plug points for refrigerated containers.
While the proposal of railing refrigerated containers was still sitting with logistics service providers for consideration, a mass rail evacuation system would contribute considerably to truck traffic, but was heavily reliant on industry uptake.
TPT said the recent enforcement of the EU’s new protectionist regulations in citrus imports from southern Africa remained a major challenge.
This combined with increased shipping rates, input costs and the late production of lemons and grapefruit posed many uncertainties for the industry.
As such, the Citrus Growers Association had since revised its annual volumes down from 170.5 million to 165.9 million cartons for the year.
Yesterday the Department of Agriculture, Land Reform and Rural Development confirmed that it had managed to negotiate a settlement that would see the clearing of citrus containers stuck in ports of entry in the EU.
“To date, we have managed to clear more than 300 of the 509 containers and we are processing clearance of the remaining containers.
“The EU introduced new measures to regulate risk associated with false codling moth on citrus fruit. The new measures include amended additional phytosanitary declarations for grapefruit and soft citrus and revised cold treatment regime for oranges,” said department spokesperson Reggie Ngcobo.
South Africa’s peak citrus season falls between April and September annually, during which both Durban and the Eastern Cape move export volumes to more than 100 countries mainly within the EU, the Far East and the US.
BUSINESS REPORT