Record Harvest in Fruits Despite Currency Pressure on Exports
· GıdaTarım
Turkey is poised for a historic peak with a projected 1 million tons of cherries and 1.2 million tons of peaches and nectarines, yet currency exchange rates and input costs are squeezing exporters' profit margins.
Record Harvest in Cherries and Sour Cherries
This season, the cherry and sour cherry harvest across Turkey is expected to reach 1 million tons. A remarkable 250% increase in production is calculated following last year's losses from frost, drought, and hail. While cherries constitute 75% to 80% of the total production and sour cherries the remaining part, İzmir ranks first among provinces with a 14% share. Despite hosting over 100 cherry varieties, Turkey maintains its global leadership with its predominantly Napoleon variety, achieving a volume of 750-800 thousand tons in normal seasons.
The Paradox of Export and Price Pressure
Despite the significant increase in production, the decline in consumer prices remained only at 50% due to market inflation and currency imbalances. While Turkey's ten-year average cherry export has been around 72 thousand tons, the highest export level was reached in the 2023/24 season with 83,500 tons, and only 10% of the total production could be exported. The US Department of Agriculture (USDA) Report, evaluating this sector's landscape, shared the following findings:
"High input costs and a low exchange rate compared to inflation have made Turkish producers less competitive in international markets. In the last two years, the Turkish Central Bank's efforts to stabilize inflation by suppressing the dollar exchange rate have further reduced the competitiveness of Turkish cherry producers abroad. With a weaker exchange rate, producers struggle to cover their production costs with the prices offered in export markets."
Historic Peak in Peaches and Nectarines
In the peach and nectarine group, an all-time production record is expected with a forecast of 1.2 million tons. Production, concentrated in the western and southern coasts of the country, is projected to increase by 87% compared to last season, solidifying Turkey's third-place global position. Nectarine production, in particular, which has developed with foreign market demand, has grown from 80-100 thousand tons in the last decade to a capacity of 400 thousand tons. The US Department of Agriculture (USDA) Reporter, who examined orchards in the region, made the following assessment:
"A new generation of highly educated and knowledgeable farmers is transforming agriculture into a modern, sector-focused enterprise. These individuals have inherited traditional family farms and redesigned them as high-tech orchards, utilizing advanced technologies and innovative cultivation methods. Investments in new peach and nectarine orchards are investments in new fruit varieties to increase productivity and quality."
Modern Horticulture and Future Goals
This technological transformation and yield increase in production are directly reflected in the country's export projections. Turkey is expected to increase its fresh peach and nectarine exports to 200,000 tons in the 2026/27 season and surpass the revenue record of $257 million achieved in the 2023/24 season. Despite the high adaptability of agricultural entrepreneurs, input costs and currency balances continue to directly affect the sector's financial returns.