Panama Golden Pineapple II

Pineapple is a dynamic and rapidly evolving sector, and the global market has faced changing conditions and production challenges over the course of the year. 2019 was more favorable for some players than for others, as low prices and inconsistent production levels created concerns across the sector. Nonetheless, value-added processing and rising demand in emerging markets present significant opportunities. In May 2019, it was reported that producers in the US had limited production due and cut back on imports due to low prices. In the EU, demand was also reported to be down. Prices for Central American pineapples on the US market in July were reported to be 9% down on the average for the previous three years. Despite this there are a number of reasons for producers to remain optimistic about the future of the sector and that prices may continue to recover during 2020. Firstly, there are expanding export opportunities, particularly in Asia. Costa Rica has been in talks with China since 2010 over proposals to export pineapples to China and the first shipments have took place in 2019 after overcoming significant challenges in terms of logistics and pest issues. Panama is also about to start exporting pineapples to China and expect to export up to 25 containers per week in 2020, rising to 50 in 2021. China is a key growth market and Chinese pineapple imports have been growing at an average annual rate of approximately 35%. In the long term, the market shows strong opportunities for niche and value added products. Convenience products such as chilled fresh-cut pineapple packed as spears or chunks in sealed plastic bags for retail sale are relatively new products and crownless pineapples are particularly well suited for these uses. Fruit can be processed on-site and transported at low temperatures or shipped whole without the crown to large metropolitan centres and processed just before retail sale. There is also growing demand for products such as organic pineapple juice, which was valued at US$ 3.5 billion in 2018 and is expected to reach US$ 5.6 billion by 2026 growing at a rate of 6.05 % p.a. This is being driven by increased interest in healthy consumption choices by consumers. There is also growing demand for other products such as dried pineapple and pineapple powder for use in food products and as a natural flavour which is expected to grow at a rate of 7.1% p.a. There are growing opportunities presented by the increased rates of consumption in Latin America as well. Brazil is the world’s largest consumer of pineapples, accounting for 11% of global consumption, a trend which is likely to continue growing. Consumption is also growing in countries such as the Dominican Republic and Costa Rica. Supply issues have also impacted the market in recent months. Drought has affected production in Mexico with over 3.000 ha impacted. Pineapple prices in Mexico have increased, and it has been reported that a single pineapple fruit can be sold for up to 25 pesos in some places. Supply in Costa Rica, which accounts for 94% of Central American production, is also down due to the El Niño effect leading to unusually hot temperatures. The country currently supplies the US and European markets and the supply of larger pineapples favoured by US consumers have been particularly affected. Despite supply issues and falling consumption for pineapple in some markets, the future for the sector remains bright with demand for niche, value-added products and new export markets driving the market.

A research project at Leibniz University in Hannover, Germany has developed a method of producing paper using leftover pineapple crowns, providing a solution to a widespread problem in the pineapple industry. The Musa Fibra Project’s innovative solution extracts cellulose from the crowns, producing a sustainable paper alternative that requires no chlorine bleaching. Large pineapple plantations can produce hundreds of tons of wasted crowns per week, and the resulting unused biomass can become a haven for a local fly species that harms nearby cattle populations. Farmfolio spoke with project director Niklas Tegtmeier about the origins of the project and its plans for the future. What turned your attention to reutilizing pineapple crowns as a conservation effort? Our project started with extracting the cellulose from green banana peels. After we had developed a method for the peels, we visited our cooperation partner, the research institute Cenibiot, in Costa Rica. We learned that the bananas that are not exported are sold on the local market or reused for other purposes. The pineapple crowns are a much bigger problem on the plantations. Back in Germany we adjusted our extraction process to pineapple cellulose and were quickly able to produce our first paper. This year we travelled to Costa Rica again and got in touch with new cooperation partners like for example pineapple plantations or the agriculture ministry, which were very enthusiastic and supporting about our project. What are the challenges to implementing this project on an industrial scale? Currently we are extracting the cellulose and producing the paper on a laboratory scale. On this scale it works very well. For the scale-up we need the right devices and other equipment, which is of course expensive. We are a student project, so our financial resources are very limited. Therefore the financing is one of our main challenges. In addition, we are currently examining whether our process is patentable. For the scale-up on an industrial scale the patentability must be clarified. How does the paper compare to conventional paper? One of our project leaders wrote her bachelor thesis about the characterization of the pineapple cellulose and compared these fibers with conventional fibers from the birch tree. Our extracted cellulose does not differ from the usual cellulose significantly. With the appropriate equipment it is therefore possible to produce all kinds of paper products from our pineapple cellulose. Our product is even printable without any surface treatment, which is definitely not common in the conventional paper industry. We can use different types of impregnations for different uses, for strength, durability and water resistance. The Musa Fibra Project has found an innovative solution to the pineapple waste problem that could result in a sustainable and profitable industry. If the team find solutions to the patenting and financing questions, it will be able to implement the project on an industrial scale, producing everything from business cards to notebook paper to boxes for transportation. Musa Fibra has found a creative solution to a problem within the pineapple supply chain, and Farmfolio will be keeping a close eye on the project as it moves forward.

By Jonathan Lloyd Precision agriculture (PA) is the use of data-driven systems in farming. PA is not a single technology, but an entire range of tools including field mapping, yield monitoring, and variable rate applicators. Data can be collected using sensors in the field, on equipment, through drones and via satellite, and processed in order to improve profitability, maximize crop yields, and minimize the environmental impact of food production. The global PA market is growing swiftly, and is expected to reach US $1.37 billion by 2023, compared with US $0.67 billion in 2018 – a growth rate of 15.4% p.a. This growth is driven by a rising demand for agricultural goods that is closely linked to population growth, as well as the increased availability of PA technology. Despite the fact that Latin America is a major agricultural exporter, PA technology is yet to have a major impact on farming in the region. The majority of producers are still small scale family farmers who account for 50% of the region's food production, with only large-scale producers having access to the capital necessary to implement PA technologies. Many Latin American farmers face challenges in terms of inefficient use of inputs, the identification of crop diseases, and a lack of analytical tools for decision-making. Latin America is a vital food exporter, but production growth faces considerable challenges. Agricultural expansion into rainforest areas is unsustainable, and will come under increased scrutiny and pressure from NGOs, consumers, and governments. Many farmers will look to PA as an alternative method of increasing crop yields as the availability of arable land declines, especially in regions that concentrate heavily on soy and corn for the production of biofuels. Fortunately, homegrown PA technology is gaining ground. For example, Brazilian startup Horus Aeronaves has raised $3 million in funding to develop the first-ever agriculture-focused drone service in Latin America. Products include carbon fiber drones which use multispectral cameras to produce high-resolution field imagery, providing valuable insights such as plant counting, crop health analysis, and field maps to allow targeted input applications. It has been estimated that the application of precision agriculture could increase the productivity of the Colombian palm oil sector by up to 48%, and reduce the required labor force to about 75%. Colombian sugar cane production is centered on the Cauca valley, where the alluvial soils are varied but which appear relatively uniform. Here farmers are using Variable Rate Technology (VRT), grid sampling, and yield mapping to make more targeted input applications. These farms are also prone to soil compaction, and the use of guidance systems can help in minimizing the risks of compaction. It is not only larger producers which stand to gain from using technology: the “Small Precision Coffee Farming Project” in Colombia is helping small scale producers to reduce costs and increase productivity. Data collected allows for more effective pest control and a 20% reduction in fungicide use through more targeted control of cochineal – a major coffee pest in the country. If deployed appropriately, PA technology has the potential to allow Latin American farmers of all sizes to continue to expand production and to obtain a greater share of global export markets. As PA technology becomes more widely available, Latin American farmers will be able to improve crop yields, increase efficiency, and mitigate the effects of disease. As Latin America’s agricultural sector charges forward, precision agricultural will have a key role to play.

We’re tremendously proud to announce that last August we shipped a record amount of pineapple by air freight, according to the Panamanian Customs Office. With 34,500 kilos shipped, it’s safe to say that AIR PINEAPPLE is taking off!

This achievement has been a long time coming. Since La Dona’s inception, we have been committed to bringing our customers the freshest, ripest fruits possible. We’ve ramped up production in recent months, going from 17,327 kilos of Air Pineapple sold in June to our new record of 34,500. Coming fresh off a record-breaking month, the sky’s the limit for Air Pineapple. The numerous advantages offered by Air Pineapple have been key to its success. By using air freight to ship pineapples, we can guarantee their sweetness and delicious flavor, without having to worry about losing quality during the lengthy transatlantic shipping process. This allows us to deliver high and ultra-high maturity fruits to lucrative European markets, all while preserving the rich golden color that customers love.

Customers are responding favorably to these sweeter, more colorful pineapples. According to Miguel Gonzalez, quoted in an article from freshplaza.com, “In the past, having green pineapples was considered an advantage. They lasted longer. Now, especially Dutch consumers, want more color to their pineapples. This color is good not only for the fruit’s ripeness and Brix level. It is also a boon for its appearance.” La Dona Fruit is happy to provide pineapples with rich flavor and color, which customers are quickly falling in love with. Consumer perception of pineapple is also beginning to change. “Pineapples are not really an exotic fruit anymore. They are a basic product in fruit shelves,” said Mr. Gonzalez. As pineapple becomes more commonplace, producers are going to have to get creative, and Air Pineapple is the perfect way to do this. Our ultrahigh-maturity and high-color fruits are quickly becoming consumer favorites. Air Pineapple has also allowed us to receive much higher prices for our product. Cases of pineapple shipped by air freight sold for $11.54 per case last month, which is almost double the price of cases shipped by sea, which was $6.21. Air Pineapple has added huge value to our final sales.

As demand for high-maturity and high-color fruits continues to rise, we are committed to providing more Air Pineapple than ever before. Our shipments of Air Pineapple rose 136% from July to August, which constituted 80% of our total shipments. By choosing to focus on Air Pineapple, we can increase the value of our product and carve out a niche in the competitive markets in places like Germany and the Netherlands. We have no doubt that Air Pineapple will continue to see huge success, and we intend to focus more of our efforts on providing customers with fresh, colorful, high-maturity fruits. The record is now ours to break, and we have every intention of doing just that, time and time again.