Significant price drop for this fruit is expected by consumers, budget pressures to alleviate
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As the Australian table grape season approaches, there's a silver lining on the horizon for consumers feeling the pinch at the checkout.
With the local season set to begin in November, prices for these juicy morsels are expected to take a significant tumble, potentially by as much as $10 per kilogram.
This anticipated price drop is a breath of fresh air for grape lovers and budget-conscious shoppers alike, who have recently faced steep prices for predominantly US-grown grapes, ranging from $9 to $22 per kilogram at major supermarkets.
Australia, known for its luscious table grapes, is a net fruit exporter, with over 132,000 tonnes shipped overseas in the 2022-2023 season.
Traditionally, China has been the largest market for Australian grapes, but there's been a significant shift.
Exports to China have plummeted by 29 per cent as the country ramps up its grape production, moving towards becoming a net exporter itself.
This trend is expected to affect Australia; other major grape-exporting nations, like Chile and Peru, have also seen declines in their exports to China.
The decrease in exports to China and drops to other markets like Vietnam and Thailand has had a ripple effect.
However, there's a silver lining as new doors open to other markets.
Indonesia, South Korea, and Japan have emerged as promising destinations for Australian table grapes, thanks partly to new market access and the removal of export restrictions.
Japan, for instance, now has access to 130 varieties of Australia's table grapes, which is expected to boost demand and exports to the region.
Back on home soil, the domestic demand for table grapes has grown by about 11 per cent in the past year, with dollar sales up by approximately 10 per cent.
‘We've definitely seen a lot of inflationary impacts all over in the fruit and fresh produce sector, and we definitely see a lot of seasonality when it comes to table grape prices,’ Rabobank horticultural analyst Pia Piggott said.
‘Right now, they're out of season, so we're importing table grapes — and they're a lot more expensive.’
This increase in local appetite for grapes is timely, as the out-of-season imports come with a hefty price tag due to the costs associated with international shipping and the premium placed on off-season produce.
The Australian Table Grape Association's chief executive, Jeff Scott, has indicated that consumers should see a reduction in price once the local season starts.
‘When Australian domestic grapes come onto the market, the price drops maybe $10 a kilo,’ he said.
Mr Scott stated that prices should ideally remain stable throughout the year to ensure that growers receive a fair return and help them stay in the industry.
‘There's a lot of pressure about bringing down cost-of-living prices, but unfortunately, from the farmers' point of view, their input costs, like fuel and fertiliser, are going up,’ he added.
This price drop is good news not only for consumers but also for growers who have been under pressure from rising input costs such as fuel and fertiliser.
A consistent year-round price would be ideal, ensuring that growers receive a fair return and can sustain their operations in the industry.
Growers like Tony Lombardo, who farms in Menindee, far west New South Wales, are optimistic about the upcoming season.
‘We have had issues with [Queensland] fruit fly, a spider problem, and with the rain, we had issues with downy mildew,’ he said.
‘This year, the crop is looking like it is going back to normal after it was light last year.’
Have you noticed the fluctuating prices of table grapes or other produce? How do you plan to take advantage of the upcoming price drop? Share your thoughts and strategies in the comments below.
With the local season set to begin in November, prices for these juicy morsels are expected to take a significant tumble, potentially by as much as $10 per kilogram.
This anticipated price drop is a breath of fresh air for grape lovers and budget-conscious shoppers alike, who have recently faced steep prices for predominantly US-grown grapes, ranging from $9 to $22 per kilogram at major supermarkets.
Australia, known for its luscious table grapes, is a net fruit exporter, with over 132,000 tonnes shipped overseas in the 2022-2023 season.
Traditionally, China has been the largest market for Australian grapes, but there's been a significant shift.
Exports to China have plummeted by 29 per cent as the country ramps up its grape production, moving towards becoming a net exporter itself.
Australia's table grape exports to China have been reduced by 29 per cent, with declines also seen in Vietnam and Thailand. Credit: Shutterstock
This trend is expected to affect Australia; other major grape-exporting nations, like Chile and Peru, have also seen declines in their exports to China.
The decrease in exports to China and drops to other markets like Vietnam and Thailand has had a ripple effect.
However, there's a silver lining as new doors open to other markets.
Indonesia, South Korea, and Japan have emerged as promising destinations for Australian table grapes, thanks partly to new market access and the removal of export restrictions.
Japan, for instance, now has access to 130 varieties of Australia's table grapes, which is expected to boost demand and exports to the region.
Back on home soil, the domestic demand for table grapes has grown by about 11 per cent in the past year, with dollar sales up by approximately 10 per cent.
‘We've definitely seen a lot of inflationary impacts all over in the fruit and fresh produce sector, and we definitely see a lot of seasonality when it comes to table grape prices,’ Rabobank horticultural analyst Pia Piggott said.
‘Right now, they're out of season, so we're importing table grapes — and they're a lot more expensive.’
This increase in local appetite for grapes is timely, as the out-of-season imports come with a hefty price tag due to the costs associated with international shipping and the premium placed on off-season produce.
The Australian Table Grape Association's chief executive, Jeff Scott, has indicated that consumers should see a reduction in price once the local season starts.
‘When Australian domestic grapes come onto the market, the price drops maybe $10 a kilo,’ he said.
Mr Scott stated that prices should ideally remain stable throughout the year to ensure that growers receive a fair return and help them stay in the industry.
‘There's a lot of pressure about bringing down cost-of-living prices, but unfortunately, from the farmers' point of view, their input costs, like fuel and fertiliser, are going up,’ he added.
This price drop is good news not only for consumers but also for growers who have been under pressure from rising input costs such as fuel and fertiliser.
A consistent year-round price would be ideal, ensuring that growers receive a fair return and can sustain their operations in the industry.
Growers like Tony Lombardo, who farms in Menindee, far west New South Wales, are optimistic about the upcoming season.
‘We have had issues with [Queensland] fruit fly, a spider problem, and with the rain, we had issues with downy mildew,’ he said.
‘This year, the crop is looking like it is going back to normal after it was light last year.’
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