EU Orange and OJ Production to Decline

Tacy Callies International, Orange Juice, Oranges

decline

European Union (EU) orange and orange juice (OJ) production are projected to decline in 2023–24 compared to the prior season, according to a new report from the U.S. Department of Agriculture’s Foreign Agricultural Service (USDA FAS).

ORANGES
EU orange production is projected to reach 5.4 million metric tons (MT) in 2023–24, down 2% from the already short EU orange output level in 2022–23. Oranges account for more than 55% of total EU citrus production.

The EU orange production decline is largely explained by an 11% production decline in Spain, which accounts for 50% of EU orange production. Spain was severely affected by drought.

Orange production in Italy is expected to climb 10%. Italy represents nearly 25% of the EU orange production.

Production reductions are also expected in Portugal and Greece. In Greece, orange production is expected to decrease marginally from the previous season due to reduced fruit set in the Navelina variety. Portugal’s orange production is estimated down from previous season levels due to a lack of rainfall negatively affecting orange yields and sizes.

Despite the reduction in EU orange production, a shorter volume of oranges is anticipated to be imported to the EU in 2023–24. The EU imported more than 1 million MT of fresh oranges in 2022–23. Main import origins include South Africa, Egypt, Zimbabwe and Argentina.

EU orange exports in 2023–24 are revised slightly down from previous season levels in line with the reduced production expectations. The EU is the world’s leader in fresh orange exports. Main destinations for EU oranges, primarily exported out of Spain, include the United Kingdom, Switzerland, Serbia, Norway and Canada.

ORANGE JUICE
EU orange juice production in 2023–24 is projected at 47.3 MT, down from the 48.4 MT estimated for 2022–23, reflecting the decline in orange production.

EU OJ imports in 2023–24 are revised down from the previous year. Brazil dominates the EU OJ import market. In 2022–23, EU imports from Egypt and South Africa experienced significant increases, surpassing in value the exports from Mexico, the EU’s traditional second largest supplier of OJ.

EU OJ exports are expected to drop slightly in line with the lower EU orange production. The United Kingdom remains by far the largest destination of EU orange juice.

See the full USDA FAS report on EU citrus here.

Source: USDA FAS