South Africa secures USD 56M table grape deal with U.S.
SOUTH AFRICA – South Africa has landed a significant trade agreement, marking the first USD 56 million deal facilitated by the United States–Africa Trade Desk (USATD) for exporting table grapes to the U.S.
This deal, covering 700 containers (1,260,000 crates) of South African-grown table grapes, was formalized at the Africa Pavilion during the Summer Fancy Foods Trade Show.
The USATD, a collaboration between Prosper Africa and Afritex Ventures, aims to connect African agricultural suppliers with U.S. buyers.
This initiative is set to stabilize U.S. product prices during the off-season, a period when commodity prices typically increase by 35%.
British A. Robinson, Prosper Africa Coordinator, expressed enthusiasm about the partnership’s potential, “I am excited to not only celebrate USATD’s first ever deal, but also the first time ever that South African grape producers have had the ability to directly export to U.S. retailers at scale.”
This deal is financed through a structured trade facility by EAS Advisors and Scipion Capital, ensuring stable prices for African producers and mitigating market volatility.
Shipping will begin in November 2024 and continue through April 2025, bridging the gap in the U.S. domestic growing season. The USATD will oversee the entire transaction, ensuring a seamless process from South African farms to U.S. retailers.
Gavin van der Burgh, Chief Commercial Officer of USATD, emphasized the importance of this milestone, “Through this deal, we have harnessed the agro export potential of African nations.”
This agreement not only secures a significant export opportunity for South African growers but also strengthens the economic ties between Africa and the U.S.
Additionally, USATD signed a Memorandum of Understanding (MOU) with Baylis Emerging Markets to expand trade and investment opportunities further.
Franklin Amoo, CEO and Managing Partner of Baylis, highlighted the deal’s impact, “The minimal-risk nature of this deal has opened the door to more partnerships, including our new structured financing partnership with USATD.”
Prosper Africa played a crucial role in facilitating this agreement, aligning with its mission to advance trade and investment between the U.S. and Africa.
By helping African companies leverage the African Growth and Opportunity Act (AGOA), Prosper Africa continues to create market opportunities and strengthen economic partnerships.
This groundbreaking deal not only marks a significant achievement for South African agriculture but also sets a precedent for future collaborations between African producers and U.S. markets.
The stable off-take prices and direct export opportunities present a promising future for South African grape growers, showcasing the potential of African produce on the global stage.
For all the latest fresh produce industry news updates from Africa, the Middle East, and the World, subscribe to our NEWSLETTER, follow us on Twitter and LinkedIn, like us on Facebook, and subscribe to our YouTube channel.
South Africa secures USD 56M table grape deal with U.S.
SOUTH AFRICA – South Africa has landed a significant trade agreement, marking the first USD 56 million deal facilitated by the United States–Africa Trade Desk (USATD) for exporting table grapes to the U.S.
This deal, covering 700 containers (1,260,000 crates) of South African-grown table grapes, was formalized at the Africa Pavilion during the Summer Fancy Foods Trade Show.
The USATD, a collaboration between Prosper Africa and Afritex Ventures, aims to connect African agricultural suppliers with U.S. buyers.
This initiative is set to stabilize U.S. product prices during the off-season, a period when commodity prices typically increase by 35%.
British A. Robinson, Prosper Africa Coordinator, expressed enthusiasm about the partnership’s potential, “I am excited to not only celebrate USATD’s first ever deal, but also the first time ever that South African grape producers have had the ability to directly export to U.S. retailers at scale.”
This deal is financed through a structured trade facility by EAS Advisors and Scipion Capital, ensuring stable prices for African producers and mitigating market volatility.
Shipping will begin in November 2024 and continue through April 2025, bridging the gap in the U.S. domestic growing season. The USATD will oversee the entire transaction, ensuring a seamless process from South African farms to U.S. retailers.
Gavin van der Burgh, Chief Commercial Officer of USATD, emphasized the importance of this milestone, “Through this deal, we have harnessed the agro export potential of African nations.”
This agreement not only secures a significant export opportunity for South African growers but also strengthens the economic ties between Africa and the U.S.
Additionally, USATD signed a Memorandum of Understanding (MOU) with Baylis Emerging Markets to expand trade and investment opportunities further.
Franklin Amoo, CEO and Managing Partner of Baylis, highlighted the deal’s impact, “The minimal-risk nature of this deal has opened the door to more partnerships, including our new structured financing partnership with USATD.”
Prosper Africa played a crucial role in facilitating this agreement, aligning with its mission to advance trade and investment between the U.S. and Africa.
By helping African companies leverage the African Growth and Opportunity Act (AGOA), Prosper Africa continues to create market opportunities and strengthen economic partnerships.
This groundbreaking deal not only marks a significant achievement for South African agriculture but also sets a precedent for future collaborations between African producers and U.S. markets.
The stable off-take prices and direct export opportunities present a promising future for South African grape growers, showcasing the potential of African produce on the global stage.
For all the latest fresh produce industry news updates from Africa, the Middle East, and the World, subscribe to our NEWSLETTER, follow us on Twitter and LinkedIn, like us on Facebook, and subscribe to our YouTube channel.