Madagascar, an African country and also the world’s third largest producer of lychees behind China and India, announces a significant increase in prices for the 2024/2025 campaign.
Why such a decision? The context would be the main reason.
Indeed, it should be noted that this price increase occurs in a difficult production context for this tropical fruit, an important source of income for the economy of Madagascar.
An increase in prices in the face of Madagascar’s climate challenges
Concretely, the purchase price of a kilogram of lychee from Malagasy producers is now set at 1,500 ariarys ($0.32).
This sum may seem insignificant, but it represents an increase of 15.4% compared to the previous campaign.
Furthermore, the revision comes as the official campaign began on November 12, 2024.
Falling harvest prospects
According to the Tamatave Horticultural Technical Center (CTHT), unfavorable climatic conditions in the east of the country, the main production area, should lead to a considerable drop in the harvest.
The Atsinanana region notably plans a halving of its production compared to the previous year.
This situation could affect export volumes, while Madagascar had exported 16,860 tonnes of lychees in 2023, generating revenues of $12.1 million.
The European Union remains the main export market, accounting for around 90% of shipments by value.
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