BRAZIL

Feedback from the Trade on Their Plans and Interest in the USA Pear Season:

Importers did show interest in importing from the NW region. The crop conditions in combination with the logistic problems are factors making it very difficult to be realized this season.

Expectations for Any Freight or Logistics Challenges:

The challenge is the sea freight from the PNW region to Brazil. The Panama Canal allied to the international sea freight problems are making it very difficult to ship fresh pears. The delays are still on and the increased costs are not helping.

Opportunities in Your Market for Specific Varieties, Sizes, and Grades:

The market has space for Bartlett and Anjou, both red and green. But the current pricing conditions and the transit time are not ideal for the Brazilian market.

Update on the Competition in the Market:

The market has a big volume of cheap Argentinean Packham and some Green Anjou. Also there are a few Spanish Bartlett, and the traditional Portuguese Rocha pear is available - this one has presented good and bad moments, as quality has been challenged by long transit times from Europe to Brazil.

Political or Economic Issues Impacting Imports, Retail, or Consumer Behavior:

The current government is facing a lot of problems to hold the currency devaluation. The exchange rate reached the highest rate ever during the month of December, at R$ 6.78 per dollar. The interest rate has been elevated again to try to hold some of the inflationary effects that the economy is facing. Interest rate is at 11.75% per year and the inflation is at 4.75%, surpassing the target level.

Other Brief Comments:

The pear sector at retail has reduced tremendously in the past two years. The feeling is that the fruit that has been offered has presented issues on delivery: most fruit does not ripen properly or presents a lot of decay issues. The fruit in general does not have its traditional flavor and smell.