Egypt is bound to become a player in the juice market and we’ll have to monitor its development

The Fino lemon season is now in its second part and, despite some losses caused by the weather, Ailimpo says that the campaign is developing positively, with supply and demand in balance.

“The first estimate pointed to this season’s production in Spain reaching 1,260,000 tons, which represents a 21% drop compared to the 2023/2024 campaign when a record lemon production was obtained,” says José Antonio García, Director of Ailimpo.

“Despite this significant drop compared to last year, the lemon production expected this season is still considered as sufficient to meet the markets’ needs for exports, processing and the domestic market.”

“It’s worth recalling that, according to official data, the acreage continues to expand as new plantings continue. Therefore, in addition to a drop in the total volume, the figures available also reflect a drop in the average yields per hectare, a relevant issue that should be taken into account by growers,” says José Antonio.

“The processing industry acts as a regulatory mechanism”
On the positive side, this lower lemon production will result in a better balance between supply and demand, both for companies devoted to the fresh market and for processing companies such as Riverbend, a partner of Ailimpo, which in just a few days will be present at Biofach, and in March will participate in the 50th edition of Foodex Japan, taking its high added value products made from Spanish citrus to Tokyo.

“Climate change, the impact of new pests, and restrictions on the use of phytosanitary products to combat these pests are resulting in Spain’s citrus production losing commercial quality and, consequently, in a higher percentage of the crop being used for industrial processing,” says José Antonio García. “The processing industry absorbs the majority of the fruit that can’t be marketed fresh, acting as a regulatory mechanism and helping to ensure that prices in the fresh market and, therefore, the grower’s profitability, remain at sustainable levels.”

75% of every ton of fruit produced in Spain goes to the fresh market; the rest, 25%, becomes a by-product for the processing industry.

“Collaboration is needed between the fresh and processing sectors, maximizing the supply of commercial quality fruit for export and, at the same time, regulating quality so that only the best (highest value) fruit reaches the fresh market. Efficient management of surpluses by the industry must contribute to this. All of this within a framework of financial balance between different players, which is undoubtedly hard to achieve in a globalized market scenario,” says José Antonio.

“However, the Spanish industry has a competitive advantage in the European market, as it is delivering products of European origin, which is increasingly appreciated by customers due to aspects such as traceability, food safety, sustainability, and carbon footprint.”

“We have reduced our carbon footprint by 30% compared to 2021”
Since the creation of its internal sustainability committee called Perfect Circle, Riverbend has launched a number of initiatives closely linked to the objectives of the United Nations Sustainable Development Goals, aiming for its internal initiatives to adhere to global trends in sustainability. “Since then, Riverbend has managed to reduce its carbon footprint by 30% compared to 2021. Activities have been carried out to promote the company’s integration in society, collaborating also with some NGOs at a national level,” says the company.

“The biggest project for 2025 is the launch of our second photovoltaic energy park or solar farm, with which we’ll be able to produce up to 900 kWp, significantly reducing our energy costs and, at the same time, our impact on the environment. These new projects will help us become much more efficient and to allocate resources for the constant innovation and development of our plant,” they say.

“As its agricultural sector develops, Egypt is also investing in processing plants”
In recent years, the citrus sector in Spain has faced the challenge of drought and, in the specific case of lemons, a record overproduction, both of which have increased market instability. In addition to these factors, there is also competition from Egypt, which has grown considerably in a short time frame in all citrus categories.

Data from 2024 show that the country’s orange exports to Europe have grown by 70.7% compared to the average of the last 5 years, and the country already accounts for 50.5% of the oranges from third countries exported to the EU market. The volumes of small citrus fruits and lemons are smaller, but in 2024, they grew by 65% and 226%, respectively.

“Everything is changing very rapidly in Egypt, where projects enjoy strong government and financial support, and benefit from very low labor costs and a sufficient water supply (a key resource). Parallel to agricultural developments, there are also investments in processing plants. Egypt is bound to become a player in the juice market, especially orange juice, and we will have to monitor its development.”

For more information:
Riverbend
Road to Abanilla 30
30140 Santomera, Murcia, Spain
[email protected]
https://riverbend.es/

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