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[BUSINESS] · Peru, Brazil · 2 sources

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Ginger producers in Peru and Brazil face supply and regulatory challenges

The global ginger market faces distinct challenges in major producing regions of Peru and Brazil.

In Peru, the ginger season is currently stable with supply exceeding demand, but weather patterns pose a significant threat. Experts anticipate that El Niño will bring intense rainfall, potentially disrupting production and logistics from November through March 2027. This weather-driven volatility is expected to impact the supply chain as ginger travels from the jungle through the highlands to the coast for export to North America and Europe.

Meanwhile, Brazilian producers are navigating a complex season characterized by intense competition from low-cost Chinese supply and new regulatory hurdles. The European Union has implemented a regulation requiring exporters to provide official certification that crops are free from certain diseases present in Peru but absent in Brazil. This mandatory certification adds significant costs to Brazilian exporters at a time when profit margins are already pressured by high production and labor expenses.

Entities

Anawi USA LLC · European Union · Gengibre Brasil · SUNAT · Senamhi