Australia Seeks to Broaden Export Markets as Tensions Rise with Its Largest Buyer

As Australia’s almond exports grew in recent years, so did the share of those exports bound for China – from 1% in Australia’s 2017-2018 marketing year to 54% in the most recently-completed 2019-2020 marketing year.

That is now changing. More than halfway through Australia’s 2020-2021 marketing year, its exports to China as a share of its total exports are down 21% compared with the previous marketing year.

In recent months, Australia’s almond exporters have made efforts to broaden the basket of countries they ship almonds to, with the result that a smaller share of Australia’s almond exports is heading to China. As a dispute between the two countries makes it increasingly difficult for Australia to send a host of commodities and products to China, Australia’s move to diversify its export base appears to have come at a good time.

“China has always been a buyer of our product, and we’re hopeful that will continue,” said an almond exporter in the Australian state of South Australia. “But there’s a level of uncertainty there that wasn’t there before.”

So far, Australia’s almond industry appears to have dodged becoming a casualty of the spat, which goes back to 2018 when Australia banned China from building its 5G network in Australia. Tensions rose in April when Australia’s prime minister called for an inquiry into the origins of Covid-19, which scientists say first appeared in China.

Those and other grievances prompted China to respond by announcing restrictions on a raft of Australian products and commodities such as coal, copper, barley, beef, and wine.

image_pdfDownload as PDF

More Posts

EU customs duty reduction and low prices lift European almond demand

Recent price declines in the global almond market are driving increased buying from European traders, but demand is also being helped by a 1.5% reduction in European Union customs duty on imported U.S. almonds from the start of the New Year. Another factor supporting U.S. almond prices is their current price advantage over Spanish almonds,

Almond market eyes possibility of shifting demand patterns

With global almond prices softening recently, explanations of factors driving the decline have focused on supply and California’s deeper unsold position relative to previous years. However, amid logistical bottlenecks stretching freight delivery timelines, recent analysis of the demand side has highlighted potential shifts in purchasing outside seasonal patterns that could indicate support for prices in

An Updated Crop Forecast and Shipment Report Jolt Market

A smaller-than-expected California almond crop forecast and a report showing record June shipments provided the global almond market with its most bullish news this crop year, bolstering sellers who have been grappling for months with record low prices while simultaneously striking concern among some sellers that the market could overheat. The 2.8-billion-pound forecast from the

Prices Surge as Forecasters Reset Supply Expectations

Prices soared in the global almond market the week ending Tuesday after the U.S. Department of Agriculture (USDA) cut its forecast for California’s 2021-2022 crop year almond production by 400-million pounds. Benchmark STDS climbed 29 cents/lb on the week to $2.22/lb FAS, while NPIS increased 16 cents/lb to $2.17/lb FAS. NPX 30/32 showed the sharpest

About Stratamarkets

Launched in 2021, Stratamarkets is the leading provider of independent price benchmarks and market intelligence for the global almond market. Companies in 11 countries and five continents rely on Stratamarkets to track prices in a fast-moving market, negotiate and settle contracts, benchmark performance and much more.

Scroll to Top