The global Pineapple market creates almost $2000 million per year worldwide; being a pantropical fruit, supremely business comes from Costa Rica. More than 58000 hectares of land are exclusive only for pineapple production, generating numerous direct and indirect employment in the region.
The fruit grows in the province of Huetar Norte, the Atlantic Huetar, and the pacific zone of the country. The leading destination for these pineapples is the world's most affected nations by the COVID 19 outbreak. The USA is among the top importers, while 75% of European pineapples come from Costa Rica.
Due to the worldwide pandemic, this trade is profoundly affected. Between March to May this year, the Mintec price of Costa Rican pineapples declined by 24% within the country as an outcome of the export drop.
According to Costa Ricas National Chamber of pineapple, production transport decreased in the USA by 30% while in Europe, by 40%, ultimately pineapple growers in Costa Rica are expecting abrupt financial losses this year. FOB prices for imports that remained steady previous year dropped by 50% since the stay-at-home orders, which led most of the restaurants & institutions shut. Mostly the production had to be sent to the juice Industry at fewer prices.
The substantial growth of pineapples exports has been declining since 2019 due to weather conditions and diminished international prices. In the nearly past, 50% of them had to be thrown away due to overproduction, but what is happening in the current scenario is worst than that.
In the USA, the supply has been significantly down as imports from their largest market, Costa Rica, Mexico, and Honduras, are low. In the next time, demand might pick up depending upon the availability of limited stock, especially from Mexico. The market fell sharply due to the closure of industries mostly using pineapple, and prices remain stable due to tighter supply, but if demand increases in coming future instability between both forces may create uncertainty in the estimate of the price.