The lack of demand lingers, and prices start to erode slightly on the European market.

Yet, in spite of different origins being in their seasonal rise, the global supply remains moderate. On the one hand, the French West Indies are holding stable and limited volumes, while the African deficit lingers. In-deed, the Ivorian rise has slowed down and these volumes cannot offset the large Cameroonian deficit.
On the other hand, for dollar banana, volumes were still limited this week: even though the Colombian peak is ongoing, now back to average seasonal levels, and Ecuador remains stable and close to average, the smaller arrivals from Costa Rica, due to the past strike, had a clear influence on the market. This moderate offer is however happening in a context of slow demand where, in spite of the lower temperatures, the competition from local fruits is getting stronger.
Indeed, the apple season is still forecasted 10% above average and the Spanish citrus are well developing as well. There-fore, even though a good promotional activity has helped to keep the general balance, especially in France and Germany, the lack of dynamism of the demand has led prices to erode slightly in France and more strongly in Italy. In Russia, prices continue to go down under the growing volumes and the lack of demand.
In Spain, volumes have stabilized at low levels so the market has gone back to balance. Finally, on East-ern markets, supply from the West is still on the rise and prices continue to slowly erode.


Europe Trend Week 41