Daltex eyes 15% increase in exports this season
Export from oasis farm to begin this year, European market most attractive for exporters,saysTawfik
ElWadi ForAgricultural Development & Land Reclamation (Daltex) aims to achieve a 15% growth in exports this season,by expanding in current markets and entering new ones.
The company’s Commercial Director,Ahmed Tawfik, said they will begin exporting potatoes from the oasis farm this season, after cultivating 5,000 - 7,000 feddan from 20,0000 feddan obtained by the company last year.
He pointed out that the company is exporting a number of products, mainly potatoes and citrus, accounting for 70% of Daltex’s exports.
In European markets,Tawfik he said that it is the most important for agricultural crops, due to several factors such as its proximity, high prices, and guaranteed payment.
The European market is not difficult, but it needs an exporter who is committed to specifications and delivery dates, stressed Tawfik.
He also pointed out that the company has four external offices, half of them in Europe, which contribute to exporting 70% of the company’s products.
The commitment of exporters in Egypt to the specifications and supply schedule required by Europe stimulates the latter to buy products at good prices, but Egyptian companies sometimes err in exporting larger quantities than needed, which cuts prices, added the company’s commercial director.
He stressed that importers should be notified if exporters cannot supply according to the agreed upon schedule, and give alternatives to maintain confidence.
One of the most important advantages of the European market is the lack of sudden drop in prices, as it moves from 5 to 10%,
Additionally, he also pointed out that markets such as Syria, Lebanon, Greece, and Russia are operating based upon weekly contracts, unlike the markets of Germany, Poland, Hungary, the Czech Republic, and Slovakia, which are still new and can absorb larger quantities of Egyptian products.
Egyptian companies started to export to the Chinese market only three seasons ago, despite having a cooperation protocol between both parties 12 years ago,
Furthermore, Egyptian companies began providing products according to the required specifications by the Chinese market, especially citrus, which increased to 120,000 tonnes from 5,000 tonnes two years ago, he added.
Citrus exports top the list of Egyptian agricultural exports in quantities exceeding 1.5m tonnes, ranking second only after Spain.
Face the phenomenon of decreasing prices by some Egyptian exporters to export large quantities at lower prices, which affects the reputation of Egyptian products, and makes them cheaper than their actual value.