The Peruvian asparagus sector is adjusting, marked by a decline in cultivation area, rising costs, and reduced product availability, according to John Early, Fruitist’s Global Sales Director. “Asparagus cultivation is falling because other crops are more profitable,” he stressed, indicating a structural shift in the country’s agriculture.

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Peru has cultivated asparagus for over thirty years, primarily in two regions: the north (Olmos, Chiclayo) and the south (Ica). The company Fruitist focuses solely on the northern region and oversees about 350 hectares. This area features two distinct harvesting periods: June to July and December to January, each with shorter harvest cycles of roughly 30 to 35 days compared to the south.

A good field can yield between 12 and 14 tons per hectare, with the company processing about 4.5 million kilos annually. However, Early cautions that profit margins are narrowing: “The cost to produce in Peru is roughly $16 for a five-kilo box.” This contrasts with current destination prices, especially in the United States, where “they average around $20 to $25,” resulting in limited margins given the production and logistical risks.

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The United States remains the main market, absorbing 80% of shipments, while Europe accounts for nearly 20%. This is partly due to product characteristics: “In the North we have thinner sizes, and Europeans prefer larger sizes,” Early explains. Other regions, like Asia, mainly receive supplies from the south.

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One key reason for firm prices is the reduction in global supply. “Demand remains unchanged, but supply has decreased. This decline is partly due to farmers switching to more profitable crops like blueberries, which offer higher labor income and returns. Workers harvesting asparagus earn less than those harvesting blueberries,” he stated.

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Logistical costs continue to be a key challenge. Oil prices affect sea freight costs, but space availability has stabilized. “There are spaces, they are just more expensive,” he said. Regarding climate, the sector remains cautious about a potential El Niño, although no major impacts have been seen so far.

Finally, Early underscores the crop’s lack of innovation: “Asparagus has not changed at all in 25 years.” This lack of advances in genetics or productivity contrasts with other, more dynamic sectors, limiting its long-term competitiveness and reinforcing the trend toward reduced surface area in Peru.

© FruitistFor more information:
John Early
Fruitist
Peru
Tel: +51 1 4213468
Email: [email protected]
www.fruitist.com