Cepea, December 3, 2024 – The possibility of a small orange supply was reinforced due to the decrease of the number of companies operating in São Paulo state in late November. In the last two crops, when the supply was already below the normal standard, major processing companies started to reduce the pace of activities only between January and February.
In January 2024, only six plants were operating, against tem in the same period last year. At the end of November, there were seven units in activity. Players surveyed by Cepea say that there might still be a certain volume of raw material for the industry to continue processing up to February 2025, but March is still uncertain.
To make matters worse, the low supply is being verified together with low quality. According to players surveyed by Cepea, the brix-acid ratio is unsatisfactory, concerning both producers and players from the industry, since it affects the efficiency of processing activities and the quality of the final product.
The lower juice yield is especially linked to the scarcity of rains during the development of the fruits, which reduced the amount of juice in the fruit. As a result, more oranges are necessary to produce the same amount of juice.
(Cepea-Brazil)
Centro de Estudos Avançados em Economia Aplicada – CEPEA-Esalq/USP
