South Africa, Spain partner on citrus amid trade tensions

SOUTH AFRICA – South Africa and Spain, both major citrus producers, are strengthening collaboration in citrus trade, despite ongoing trade restrictions imposed by the European Union (EU).

During the Annual Conference of the Johannesburg Chamber of Commerce and Industry (JCCI), Spain’s ambassador to South Africa, Raimundo Robredo Rubio, spoke on the topic, offering insights into the countries’ interconnected citrus trade and addressing industry concerns about market access.

Rubio clarified that while phytosanitary regulations are in place to curb issues like citrus black spot (CBS) and false codling moth (FCM) infestations, Spain values South Africa as a strategic partner in the global citrus market.

“What people don’t know is that Spain is a big producer of citrus in South Africa,” Rubio explained. “We have Spanish companies producing oranges in South Africa and exporting fruit to Spain when the season changes.”

He emphasized Spain’s understanding of the growing global demand for citrus, with oranges comprising about 60% of the country’s citrus exports.

Rubio’s remarks underscore a mutual goal shared by both countries: meeting worldwide demand for citrus, while ensuring that their consumers remain loyal to oranges and other citrus varieties.

However, the high costs and logistical hurdles that South Africa faces to meet EU regulations continue to impact its ability to compete effectively within the EU market.

South African citrus growers spend nearly R3.7 billion (approximately USD 209.5 million) annually to meet the EU’s phytosanitary regulations, which they argue are overly stringent.

Trade disputes brought before the World Trade Organization this year highlight a general consensus among South African industry leaders that the EU measures are not only excessively restrictive but lack scientific basis.

These complaints are echoed by the Department of Trade, Industry, and Competition (dtic), which claims that the regulations disproportionately favor European producers and hinder South African farmers from expanding in the EU.

Should these regulations be relaxed or eliminated, the South African citrus industry projects it could produce an additional 100 million 15kg cartons of citrus over the next eight years, potentially creating around 100,000 jobs and generating approximately R20 billion (USD 1.13 million) in revenue annually.

“The financial burden of these measures limits our ability to compete,” stated a representative of the Citrus Growers’ Association of South Africa. Despite regulatory hurdles, South Africa has continued to expand its citrus exports, with a 5% increase in 2024.

Recent trade data reveal the scale and importance of the South African-Spanish citrus relationship. In 2024, South Africa exported about 1.2 million tons of citrus to Spain, generating close to EUR 800 million (USD 870.4 million) in revenue.

The main citrus varieties exported included oranges, lemons, and grapefruits, marking steady growth even in a challenging environment.