Think the Chilean cherry industry had hit rock bottom? Think again. Just when growers thought they’d survived a brutal season of oversupply and rock-bottom prices, a shipping fiasco has turned their worst nightmare into reality as 1,300 containers of Chilean cherries are about to be destroyed in China, and there’s nothing they can do about it.
Picture this; a ship packed with 24,000 tonnes of prime Chilean cherries sets sail for China, right on time to cash in on the lucrative Lunar New Year sales. But then, disaster. The Maersk Saltoro, the vessel responsible for this fruity fortune, breaks down in the middle of the Pacific. The cherries sit there, baking under the sun, while the industry back home holds its breath.
Source: Public Domain - The Maersk Satoro
Fast forward 52 days, and the ship finally limps into port of Nansha. But instead of being welcomed with open arms, the cherries are slapped with a big, fat rejection stamp. Too old, too rotten, too late. China declares the entire shipment unfit for human consumption and orders immediate destruction. And by destruction, we mean total annihilation, all 1,300 containers of cherries, gone.
Source: © Liudmyla Nikitiuk | Dreamstime.com - Chilean Cherries
The financial blow? A casual $120 million. The emotional damage? Unmeasurable. Chile’s cherry exporters were already grappling with rock-bottom prices this season, and now this. It does raise the question about 'putting all one's cherries in one basket', in this case in one shipload.
Now, insurance companies are scrambling, exporters are fuming, and industry heads are asking some hard questions. Like, should they really be putting all their eggs (or cherries) in one Chinese basket? And how do they stop something like this from happening again?
One thing’s certain: if Chile’s cherry exporters weren’t looking at diversification before, they sure as hell are now. Because in this business, it turns out that one breakdown at sea can sink an entire season.
ENDS:
Comments