Potato & Onion Price Comparison | 5 Aug 2024

AMT

5 Aug 202407:53

Summary

TLDRThis week's AMT/John Deere Fresh Produce Market overview discusses the unusual drop in onion prices below potato prices for the first time since March, driven by high volumes and a strong upward trend in potatoes. The report also covers the Rand's sideways movement, Brent crude oil's volatility due to geopolitical tensions, and market trends for other produce like tomatoes, carrots, and peppers. It forecasts a potential downward trend for onions, while highlighting the benefits of FieldNET Pivot Watch for farm irrigation management and promoting the upcoming International Fresh Produce Association's Southern Africa Conference.

Takeaways

📉 Onion prices dropped below potato prices for the first time since March.
💱 The Rand is currently trading at R18.18 per US dollar, moving sideways between R18 and R18.50.
🛢️ Brent crude oil price decreased to $77.90 per barrel due to volatile market conditions and geopolitical concerns.
🥔 Average national potato price increased by 16% to R80.75 per 10kg with expected shortages driving further price increases.
🍅 Tomato prices decreased by 18% to R8.07 per kilogram with expectations for prices to stay low during August and September.
🥕 Carrot prices remained stable at R3.92 per kilogram with higher volumes expected to keep prices low until October.
🧅 Average onion price decreased by 8% to R62.60 per 10kg, expected to drop below R50 and stay low until December.
🌶️ Pepper prices varied with green peppers at R18.43, yellow at R26.52, and red peppers increased by 12% to R33.75 per kilogram.
🍇 Average table grape price increased to R152.92 per kilogram, with pineapple, lemon, and blueberry prices also showing variations.
📅 International Fresh Produce Association's Southern Africa Conference will be held from August 5th to 6th in Cape Town.

Q & A

What is the focus of this week's AMT / John Deere Fresh Produce Market overview?
-The focus of this week's overview is on onion prices, which have moved below potato prices for the first time since March, and the potential direction of these prices over the next month.
What is the current trend of the Rand against the US dollar?
-The Rand is currently at R18.18 per US dollar and has been in a downward trend over the past few weeks, reaching lower highs each time, but now appears to be moving sideways within the band of R18 and R18.50.
How has the Brent crude oil price been affected by recent events?
-The Brent crude oil price decreased to $77.90 per barrel due to volatile markets influenced by Iran's reaction to the murder of the Hamas' leader and weak PMI data from the US and China, which could lower demand for Brent crude oil.
What was the percentage increase in the average national potato price over the past week?
-The average national potato price increased by 16% to R80.75 per 10kg with volumes 12% higher week on week.
What are the current prices for different sizes of potatoes?
-The large potato price is at R90, mediums at R78, and smalls at R60 per 10kg.
When is the expected drop in potato volumes in Limpopo?
-The drop in potato volumes in Limpopo is expected to come into the market at the end of August or the start of September.
How did the tomato price and volume change in the past week?
-The tomato price decreased by 18% to R8.07 per kilogram with volumes increasing by 13%.
What is the current trend for onion prices compared to the previous month?
-Onion prices are in a downward trend, decreasing by 8% to R62.60 per 10kg, and for the first time since March, they have moved below potato prices.
What is the expected trend for pepper prices in August?
-The pepper prices are expected to remain on a higher level for the remainder of August due to lower volumes.
What is the FieldNET Pivot Watch and how can it benefit farmers?
-FieldNET Pivot Watch is a monitoring system for irrigation systems that offers unmatched surveillance of any pivot, anytime, anywhere, providing cost-effective and time-saving solutions for farmers.
When and where is the International Fresh Produce Association's Southern Africa Conference taking place?
-The conference is taking place from August 5th to 6th at the Century City Conference Centre in Cape Town.
What is the latest information on the average price of bananas and their volumes?
-The banana price increased to R7.32 per kilogram or R132 per 18kg box with volumes increasing by 8% week on week.
What are the current prices and trends for apples and pears?
-The latest apple price decreased to R9.72 and is expected to stay on a higher level at least until November. The pear price decreased to R10.64 per kilogram and is likely to remain sideways over the next few weeks.
How did the avocado and table grape prices change recently?
-The Avo price decreased to R14.78 per kilogram with volumes jumping by 15% week on week. The average table grape price increased to R152.92.

Outlines

00:00

📉 Market Overview and Economic Indicators

This paragraph discusses the AMT / John Deere Fresh Produce Market overview, focusing on the unusual occurrence of onion prices falling below potato prices for the first time since March. It also touches on economic indicators such as the Rand's value against the US dollar and Brent crude oil prices, noting the market's volatility due to geopolitical events and economic data from major economies. The paragraph further details the price movements and volume changes of various produce, including potatoes, tomatoes, carrots, and onions, with a particular emphasis on the onion market's trend and forecast for the coming months.

05:03

🌱 Agricultural Technology and Market Prices Update

The second paragraph highlights the transformative potential of Zimmatic's FieldNET Pivot Watch for irrigation systems and encourages viewers to contact their local dealer for a quote. It then provides updates on various market prices, including cabbage, garlic, spinach, sweet potatoes, and pumpkins, as well as fruit market prices for bananas, apples, pears, oranges, avocados, table grapes, pineapples, lemons, and blueberries. The paragraph also promotes the International Fresh Produce Association's Southern Africa Conference, emphasizing its importance for professionals in the fresh produce industry. The video concludes with a call to visit the AMT Trends website for more information and a sign-off from Dr. Johnny van der Merwe.

Mindmap

Keywords

💡AMT / John Deere Fresh Produce Market overview

This is the title of the video script, indicating that it provides a summary of the current state of the fresh produce market, specifically focusing on the prices and trends of agricultural products. It is sponsored by John Deere, a company known for its agricultural machinery, and Fieldnet Pivot Watch, a technology for monitoring irrigation systems. The script discusses various produce prices, making this keyword central to understanding the video's theme of market analysis.

💡Onion prices

Onion prices are a significant focus of the video, as they have moved below potato prices for the first time since March. This is an important economic indicator within the fresh produce market, reflecting supply and demand dynamics. The script mentions that onion prices are in a downward trend, which is a key point in understanding market movements and the potential for future price changes.

💡Potato prices

Potato prices are compared against onion prices in the script, highlighting a shift in the market where onions have become cheaper. The increase in potato prices is attributed to higher volumes and a strong upward trend, which is a critical factor for farmers, traders, and consumers alike. This keyword is essential for understanding the comparative analysis presented in the video.

💡Rand

The Rand is the currency of South Africa, and its value in relation to the US dollar is mentioned in the script. The Rand's downward trend and its sideways movement within a specific range are important for understanding the economic context of the fresh produce market, as currency values can influence the cost of imports and exports, including agricultural products.

💡Brent crude oil price

The Brent crude oil price is a global benchmark for oil prices and is mentioned in the script as having decreased. This is relevant to the fresh produce market because oil prices can affect transportation costs, which in turn influence the prices of goods, including fresh produce. The script notes the volatility of oil markets and potential disruptions due to geopolitical events.

💡PMI data

PMI, or Purchasing Managers' Index, is an economic indicator that reflects the economic health of the manufacturing sector. The script mentions weak PMI data from the US and China, which could lower demand for Brent crude oil. This keyword is important for understanding the broader economic factors that can impact the fresh produce market, particularly in terms of demand and supply.

💡Tomato price

Tomato prices are discussed in the script, noting a decrease and an increase in volumes. This keyword is significant as it provides insight into the specific trends within the fresh produce market, showing how prices can be affected by supply and seasonal demand. The expectation for tomato prices to remain low during August and September is a key point for understanding market predictions.

💡Carrot price

The average carrot price is mentioned as remaining stable, despite higher volumes. This keyword is important for understanding how certain produce items may not be as affected by market fluctuations and can provide a point of comparison to other commodities within the fresh produce market.

💡Pepper price

Pepper prices are noted to have decreased slightly, with different prices for green, yellow, and red peppers. This keyword is relevant as it shows the diversity within a single product category and how different types of peppers can have varying market dynamics. The expectation for prices to remain high due to lower volumes is a key insight into market trends.

💡FieldNET Pivot Watch

FieldNET Pivot Watch is a technology solution for monitoring irrigation systems in agriculture, sponsored by John Deere. It is mentioned in the script as a cost-effective and time-saving tool for farmers. This keyword is important for understanding the technological aspect of modern farming practices and how they can impact the fresh produce market.

💡International Fresh Produce Association

The International Fresh Produce Association is an organization that is part of the video's sponsorship and is mentioned in the context of an upcoming conference. This keyword is significant as it represents the industry body that brings together stakeholders in the fresh produce sector, indicating the collaborative nature of the industry and its focus on growth and insights.

Highlights

Onion prices fell below potato prices for the first time since March, indicating a significant shift in the market.

The Rand experienced a downward trend, currently valued at R18.18 per US dollar, with sideways movement within a specific band.

Brent crude oil prices decreased to $77.90 per barrel, influenced by geopolitical events and economic indicators.

National potato prices surged by 16%, with increased trading volumes, suggesting a strong market demand.

Expectations of potato shortages could drive prices higher in the coming weeks.

Tomato prices dropped by 18%, with an increase in trading volumes, indicating a possible oversupply.

Carrot prices remained stable despite higher volumes, suggesting market equilibrium.

Onion prices continued to decrease, with a downward trend expected to continue until the end of the year.

Pepper prices showed variability, with red peppers experiencing a 12% increase, possibly due to lower volumes.

FieldNET Pivot Watch offers innovative monitoring solutions for farm irrigation systems, emphasizing cost-effectiveness and time-saving.

Cabbage, garlic, and spinach prices show fluctuations, reflecting the dynamic nature of the fresh produce market.

Sweet potatoes and pumpkin prices increased, indicating potential shifts in consumer preferences or supply conditions.

Banana prices and volumes increased, suggesting a growing demand in the fruit market.

Apple and pear prices are expected to remain stable, providing consistency for market planning.

Orange prices saw a slight increase with a decrease in local market volumes, indicating a potential supply constraint.

Avo prices decreased, but an expected increase in volumes may influence future pricing.

Table grape and pineapple prices increased, reflecting a positive trend in the fruit market.

The International Fresh Produce Association's Southern Africa Conference is set to provide valuable insights for industry professionals.