‘Window’ for new increases in orange juice prices

“Window” for new increases in the price of juice leaves its Economic Analysis & Investment Strategy department for March 2024. According to Piraeus Bank’s agricultural product price bulletin, market concerns on the issue of supply are expected to remain, as problems arose in the crops of New Europe, such as the “greening” of the fruit. At the same time as weather conditions, these problems may possibly promote price in futures or at least maintain them at a relatively high level. Over the last three years orange juice has recorded an increase of 229.71%, while since the beginning of the year there has been an increase of 10.60%. The world production of concentrated orange juice for 2023/24, according to USDA forecasts, was slightly upwards compared to the previous month. More specifically, a total of 66.75 million boxes (+200,000 boxes compared to February forecast), for Florida was kept unchanged in 19.80 million boxes, while for California it was slightly reinforced to 46.00 million boxes (+200,000 boxes). At the same time, the estimate for Brazilian production remained unchanged in 307.2 million boxes. The above analysis shows that slightly enhanced production prospects for oranges can reduce the price of juice. This appears to concern the market, with the estimates referring to the possible existence of fall pressure on the price of CPUs and managers strengthening sales positions at a high of 6 weeks, taking into account limited consumer demand as a result of its high price.