European Union (EU) orange juice production in 2021–22 is forecast at 62,250 metric tons (MT) by the U.S. Department of Agriculture’s Foreign Agricultural Service (FAS). That’s a decline of about 19% from the 77,212 MT of orange juice the EU produced in 2020–21.
The total volume of oranges channeled to processing depends on the crop quality and quantity of oranges destined for the domestic fresh markets and abroad. While orange juice normally takes about 15% of the EU’s orange crop, only about 13% is expected to go into juice in 2021–22.
A surge in domestic orange consumption in Italy and a somewhat smaller EU orange crop are the main drivers for lowered deliveries to juice processing in 2021–22.
In 2021–22, EU orange juice consumption is forecast to remain at similar levels to 2020–21, or 582 million metric tons (MMT), when a tight EU orange juice supply forced consumption down. According to the European Fruit Juice Association Report, while EU orange juice remains the preferred fruit juice in the EU, it faces increased competition from other drinks and fruit juices.
The EU is a net importer of orange juice. In MY 2021–22, EU imports of orange juice are anticipated to expand and partially offset the reduction in domestically produced orange juice. EU imports of orange juice in 2021–22 are projected at 650 MMT, up from 637 MMT a year earlier. Brazil accounts for 90% of the bloc’s imports. To a much smaller extent, other suppliers to the EU include Mexico, South Africa, the United Kingdom, Argentina and Egypt.
Since 2018, EU tariffs have priced U.S. orange juice out of the market. The recent tariff truces in place improve U.S. orange juice exporters’ position to resume their sales to the EU.
See the full FAS semi-annual citrus report on the EU here.
Source: U.S. Department of Agriculture Foreign Agricultural Service
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