Peru: "European demand will determine garlic prices"

This year, the demand from Latin American countries and the United States has driven the start of th…

This year, the demand from Latin American countries and the United States has driven the start of the Peruvian garlic campaign with two months in advance, because although Peru produces garlic of different calibres all year round, it is in October when the right size for export can be supplied. "The demand for Napuri garlic is very high this year, as it has a pleasing appearance for the Brazilian market, with an average of 12 cloves and a larger size. There is production of this variety up until mid-November, which, together with the implementation of refrigerated land shipments, allows us to arrive in 15 days to São Paulo. These are the two factors that are creating the most business opportunities for us," affirms Gregory Vickers, of White Lions Foods.

"Prices are high, with a balance between supply and demand, so the profit margins of our producers have improved. Despite this, the price of garlic of Chinese origin is still 40% lower than that of the Peruvian product, so we cannot compete in markets where price is the main factor driving the purchase. This year, however, the market has been undersupplied, so the price is much better and the opening of new markets, such as Australia, are a good option. Within a couple of months we'll have the large pink garlic that this market demands, so it will be a good opportunity to enter it," explains the spokesperson.

Furthermore, he also stresses that this year the weather has been favourable for the production, as there have been enough cold periods that have helped improve the calibre and quality of Peruvian garlic. "Despite this positive start, demand in Europe will be one of the factors that will determine the prices this year, because, in the absence of regional production, more demand is expected. Moreover, this year Spain could become an interesting market, because it is a major consumer of garlic, and given the drop recorded in the product's supply there are increasingly more requests for Peruvian product. The harvest of the variety that is most demanded in Europe will kick off in mid-November and we expect a very good year," concludes the representative.