SOUTH AFRICA – South Africa’s table grape industry is making significant strides in export markets, driven by improved logistics and a focus on sustainability.
This season’s projections highlight the industry’s ability to adapt and grow despite challenges.
The 2024/25 grape season began slightly later than usual but has quickly gained momentum. By the second week, nearly 25 million cartons, each weighing 4.5 kilograms, had already been shipped.
This marks about a third of the anticipated total of 76.4 million cartons for the season. According to Mecia Petersen, CEO of the South African Table Grape Industry (Sati), the industry remains focused on efficiency to prevent potential issues as production peaks.
“Due to the slightly later start of the season, one of the challenges that could potentially arise over the next few weeks is a bottleneck as volumes peak, with some production regions also noting some middle to late varieties ripening quicker than usual,” Petersen explained.
To address potential bottlenecks, Sati has implemented a cutting-edge logistics model developed in partnership with Transnova Africa.
This model, now in its second phase, provides biweekly updates with scenario-based insights, enabling producers to make informed decisions on resource allocation and market routes.
Jacques Ferreira, Sati’s manager of commercial industry affairs, described the system as a crucial tool for optimizing logistical solutions and cutting costs.
“The results can be used as a tool to assist on-farm and commercial decision-making with the aim of optimizing logistical solutions and reducing costs,” Ferreira said. He also noted the model’s ability to recommend alternative routes in case of disruptions such as weather-related port closures.
While the United Kingdom and European Union remain the top destinations for South African grapes, accounting for nearly 80% of export volumes, Sati is actively pursuing growth in other markets.
Negotiations for access to the Philippines are at an advanced stage, and Vietnam has been identified as a promising market due to its youthful population and increasing exposure to Western foods.
“Vietnam is getting a lot of focus,” Petersen said. “It’s been called the rising star in Southeast Asia, thanks to its population size, age profile, and the rise of technology in its retail spaces.”
In the United States, South Africa holds an 8% market share, filling gaps in supply between Peru and Chile. Trade with the Middle East and Africa is also showing modest growth, though these regions account for less than 10% of volumes.
Sustainability remains a core focus for the industry, with Sati aligning its practices with global trends such as the EU Green Deal.
Petersen emphasized the importance of collaboration within the industry to maintain its premium reputation and meet market expectations.
“It’s important that we see ourselves as an industry rather than as individual entities,” she said.
Additionally, South Africa’s transport infrastructure has shown positive developments. Petersen praised the leadership of Michelle Phillips at Transnet and Transport Minister Barbara Creecy for their openness to engagement.
This collaboration has contributed to improved port activity, with minimal delays reported so far this year.
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