Thailand's Pineapple Cannery is very cautious about the upcoming winter crop quotations and said it has signed a small contract this month on a higher than expected price. Thai winter crops will be harvested in November, not October. Delayed harvesting caused suppliers to suspend pineapple trading until they saw that some companies had substantial quantities and quality of pineapple shipments. Thai factories are very cautious in quoting prices. To avoid risks, traders prefer spot trading. "Factories are not keen on short-selling market expectations," commented one European trader. It is understood that some Thai factories purchase small quantities of winter pineapple canned, 6x A10 (3kg) standard quality spinning pineapple canned, FOB Bangkok quoted $22.50 per box. The same quality of 24 x 20 oz specifications, quoted at $18.50 per box. Compared with the price quoted at the end of April, the retail price increased by $3.0 and the catering price increased by $4.0. In early July, a European buyer paid $21.0 per box for 6 x A10 (3 kg) canned pineapple. Therefore, these prices are true (credible) if shipped by sight payment. "There is a backlog of orders, resulting in producers not receiving early orders, only orders delivered from December." Thai industry insiders said. Due to the high temperature and lack of rain in Thailand, crops in summer are seriously damaged and continue to affect winter crops. Thailand is currently experiencing a rainy season and the weather is fairly normal. Because of severe drought during plant growth at the beginning of the year, the loss of yield is irreversible. It is expected that the current humid weather will make a slight improvement in production. Unofficial estimates suggest that crops are expected to reach 700,000 tons this summer. Usually winter crops account for 56-60% of the total pineapple production in Thailand. Thai manufacturers hope that winter crops in the region will reach 1 million tons.

 

Thai pineapple raw material prices in July were 13.50-14 baht/kg (equivalent to $0.38-0.40/kg), much higher than expected.