A European Union ban on import of Indian mangoes, including the famed Alphonsos, from May 1 and a resultant glut in supply is pushing down prices in the local market much to the delight of domestic consumers.
The Agricultural Produce Market Committee (APMC) fruit market in Vashi is receiving record supplies. “After the Sunday break, there was a record inflow of around 2.5 lakh boxes in over 650 trucks compared to last week’s 400-500 truckloads a day. This extra supply will bring down the local market prices.
Already, traders are selling premium quality mangoes at Rs 150 per kg which seems to be a far better deal than in previous seasons,” said Sanjay Pansare, director of the APMC fruit market.
On Monday, with over 650 trucks flooding the market complex, there were chaotic scenes and a massive traffic snarl that took till afternoon to clear. Among the reasons, officials said, were a good crop and a majority of labourers having left for their native places either for elections or summer vacation.
Traders said prices of export quality mangoes have dropped by almost Rs 500 per box from the usual Rs 3,000. Each box has four dozen to six dozen mangoes. Prices could fluctuate further in the next few weeks as the Middle East market, including Dubai, gets saturated, they added.
In last week of March, EU announced the ban on Indian mango imports after finding fruit flies in some consignments. On April 1, the Centre made checks and certification mandatory for exports, but the EU has been unmoved so far. A review of the measures will take place before December 31, 2015.
The Middle East market is nearly 10 times the European market (dominated by the UK) which imports about 4,000 tonnes of mangoes during the season from Maharashtra itself. In UK, the market for the fruit is worth nearly 6 million pounds a year.
The EU said though “the prohibited commodities represent less than 5 per cent of the total fresh fruits and vegetables imported into the EU from India, the potential introduction of new pests could pose a threat to EU agriculture and production”. Pests were found in 207 consignments from India in 2013, it claimed.
UK’s Defra (the Department for Environment, Food and Rural Affairs) that is backing the ban said it was necessary due to pests which could threaten the country’s 321-million pound salad crop industry of tomato and cucumber.
“This is Euro nonsense and bureaucracy gone mad. Indian mangoes have been imported to Britain for centuries. I am furious with the lack of consultation with those who will be affected by the ban,” said Indian-origin MP Keith Vaz, who has written to the European Commission president.
The current retail price of mangoes is about Rs 700 a dozen, a drop of Rs 100 in the past 10 days. Traders expect it to fall to about Rs 400 a dozen soon. “Prices usually drop by mid-May depending on the demand and supply situation. With no buyers in the EU, these mangoes would naturally hit the local market starting a price fluctuation,” said Kaushal Khakhar, CEO of Kay Bee Exports.
