We are all aware of the crisis facing the vanilla industry in Madagascar. The purpose of this newsletter is not to add arguments to the debate but to present some of the Fundamentals that should govern any decision to be taken by the stakeholders.
1/ The demands by the Malagasy Government...
The Malagasy government is experiencing hiccups in its communication concerning the internal and
external marketing of its vanilla:
1. Trying to enforce minimum prices at the three farm gate price levels for green beans (75,000 Ar) then dry beans (500,000 Ar) and FOB (250 USD), the government had to face some difficulties (or realities):
- If on paper most of the exports made in 2021/2022 were invoiced at 250 USD, all kinds of legal or illegal tricks have taken place which have allowed certain internal or external operators to still sell on international markets at a price much lower than that theoretically paid. These re-exports essentially concern vanilla pods originating in Madagascar, as clearly shown by the quantities re-exported, particularly by the countries of North America and Europe. ("tons") appear clearly in the table below.
In between Vanilla Reports , we propose to edit regularly those newsletters that will be sent automatically to our registered subscribers and inform them in real time of events, and new analysis and data as they
are available:
April 13, 2022
As the 2020/2021* crop is being sold and exported, as the 2021/2022* crop is getting
close to maturity, this report will reflect on the events and results concerning the vanilla
world, and how they may affect this coming crop...
The Vanilla Report 1/21 Professional buyers and processors of vanilla together with consumers have……...