Category Archives: Passion Fruit Market

Passion Fruit Marketing: Domestic and Export Markets

Profitability is generally more about what you can grow as well as what you can sell. The markets for passion fruits are highly competitive and the prices for fresh fruits fluctuate a lot depending on the demand and supply.

Packaged Passion Fruits
Packaged Passion Fruits for Sale

Selling your passion fruits generally requires a lot of time as well as a lot of effort. There are various market factors that you need to consider when growing and selling your passion fruits:-

  • There are growers that produce their fruits via merchants or agents for the wholesale markets in capital cities. These agents will take massive commissions and the merchants that they produce for also buy at deeply discounted pricing. This may not be so profitable for the farmer.

 

  • There are very few growers who can guarantee volume as well as the continuity of supply that is required for the passion fruit market in the major retail chains.

 

  • You can also sell your passion fruit harvest in the wholesale market as well as in the supermarket systems that allows you to market your crop directly to local consumers and retailers. This possible through the sales of your passion fruits to the local independent growers, roadside stalls, farmers markets, farm-gate sales as well as in online markets. The online market, particularly, provides a low cost way to push your products to the marketplace. However, to exploit all these options, you have to be fully committed and you also need to develop the right sets of business skills that will allow you to market your passion fruits directly to your customers and build customer loyalty.

 

  • There is also the Quality Assurance accreditation process that you need to factor in. Quality Accreditation (QA) is usually a key requirement in numerous markets. The QA involves the passion fruit growers going through the right standards training and implementing a set of quality assurance systems, undergoing regular quality audits so as to ensure compliance. For many growers, Quality Assurance generally constitutes a major ongoing cost that the passion fruit grower needs to fulfill. Many of the leading supermarkets are increasingly demanding that the grower be accredited to meet the customer’s demands. Almost 75% of all the fresh fruit produced is usually sold through these market outlets so eventually, you will have to look for some Quality Accreditation.

 

  • While there is a vibrant export market for passion fruits, most of the passion fruits produced are usually sold domestically. For farmers that would like to take the plunge, there is a huge potential export market that can be developed. Export markets are generally a lot more complex however as the grower has to meet more stringent requirements and commitment in both time and money in developing long term relationships with buyers that are based overseas.
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Passion Fruit Farming Marketing and the Profit Margins

The value of passion fruits will vary broadly depending on a number of factors such as the country, the locality and season. The grade of the passion fruit will also have a bearing on the price. If your fruits are bruised or wrinkled, they will fetch a lower price in the marketplace. A 7 kg carton of passion fruits will fetch anywhere from $14 to $70.

Prices for passion fruits will be highest when very little fruits have been harvested and will be lowest during the peak harvesting seasons when many farmers are harvesting their fruits and pushing them to the market.

The prices for passion fruits will fall rapidly as the volumes of the fruits increase.

If you are a new grower, don’t be too bullish about the passion fruit prices. It is generally hard to realize an out-of-season production (that guarantees higher prices) even for experienced passion fruit growers. It is therefore important to temper your expectations if you are venturing into passion fruit farming for the first time.

If your passion fruit produce is of high quality, you are likely going to receive higher prices even in peak seasons. However, getting a consistently high quality of produce in your passion fruits requires a little experience.

Usually, when the prices of passion fruits are high, expect the yields to be lower. Even if you are going to fetch a good price for your passion fruits, you will be weighed down by the high cost of harvesting and low volumes of harvested passion fruits so you will have a lower income.

Profit Margins in Passion Fruit Production

The profitability of your passion fruits will be dependent on a number of factors. There are some factors that are within your control while some of the factors cannot be controlled. The profitability of passion fruit production will depend on the following:-

  • The amount of passion fruits that you have sold
  • The price of the passion fruit sold
  • The cost of production for your passion fruits

These factors are also affected by other production variables such as the weather conditions, the efficiency with which you do the growing work, the time of harvest, the passion fruit supply as well as the market demand for your passion fruits.

Passion Fruit Yields Per Hectare

The total passion fruit yields per hectare can range from 10 tonnes to 25 tonnes per year. The average yield per hectare is usually 15 tonnes per year.

At least 70% of the passion fruit produced will be suitable for the fresh fruit market. That represents roughly 10.5 tonnes per hectare that will be suitable for the fresh fruit market.

The remaining 4.5 hectares will be second-grade passion fruit and this will not be suited for the fresh market. These are usually sold to fruit processors. If you cannot find a suitable processor, the fruit will have very little value.

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What Can a Passion Fruit Farmer Earn Per Hectare Annually?

This will vary from country depending on a number of factors such as cost of labour and the overall cost of production. According to data collected from Australian passion fruit farmers, the cost of production per hectare was $32,850 per year without factoring in the cost of establishing the plantation, the fixed costs and the capital expenditure involved in establishing the passion fruit plantation.

Based on this data, you need a price of $21.90 per carton to break even with the production costs for an average industry yield of 10.5 tonnes per hectare. This is roughly equivalent to 1500 seven kilogram cartons of passion fruit.

The passion fruits sold for processing will boost your overall margins as these will represent profits over the cost of production. However, the processing market for passion fruits is often small or limited in scope and is not accessible to all passion fruit growers. So the most logical path to profitability in a passion fruit farming operation is producing high-grade passion fruits for the fresh market.

What Prices do Processors Pay for Your Passion Fruit?

Processors will usually pay a quarter of the price that you would fetch in the fresh fruit market. So growing your passion fruits strictly for the process market is not profitable. But the sale of these second-grade fruits still generates some value, albeit a limited one for growers.

The profits from your passion fruit farming enterprise will be left after deducting the cost of production and the cost of establishing the plantation from the sales proceeds. There are also fixed costs that you may have to grapple with such as the fixed costs like buildings, electricity costs, cost of building repairs, insurance costs etc; capital costs for the farm such as the cost of machinery used in the farm, buildings as well as the cost of equipment used in passion fruit farming, harvesting and storage.

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Marketing Your Passion Fruit: Frequently Asked Questions

Where should you market your passion fruits? The two main markets for passion fruits are the fresh fruit market and the fruit processing market.

The best quality passion fruits are usually sent to the wholesale market in major towns and cities where they fetch a good price. In some markets, you may have to grapple with interstate quarantine requirements for transporting fresh fruits.

Passion Fruits in the market
Passion Fruits in the market

The passion fruits that are blemished are usually sold to the fruit processing market where they are processed into passion juice and other by-products. This will however require a contract with the particular fruit processor. When entering into contracts with passion fruit processors, it is also important to establish their grading requirements. In some cases, they may not buy the passion fruits that have blemishes.

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What Prices Should You Expect for Your Passion Fruits

The prices that a grower receives from their passion fruit harvest can be variable. They will depend on factors such as the fruit quality, the amount of other passion fruits that are in the market and how and where you are selling your passion fruits. For example, are you selling in the main markets in the cities or doing direct sales in the fruit shops? Are you selling publicly through the Farmers Markets?

Normally, up to 70% of the crop will be suitable for the fresh fruit market. These can be sold directly to the consumers. An estimated 30% of the passion fruit crop is usually unsuitable for the fresh market. These are fruits that are not spoilt but have bruises or wrinkled skins and may not appeal to fresh fruit buyers. These are typically processed into fresh juice and other by-products.

Where there is no processing plant nearby, farmers will typically sell 100% of their fresh fruit produce in the fresh market with fruits that are considered “imperfect” fetching a much lower price.

For additional passion fruit farming tips, check our Passion Fruit Farming eBook.

Check out our Passion Fruit Farming eBook for more information about Passion Fruit

CLICK HERE TO PURCHASE Passion fruit farming eBook $27.00 USD