Australians are paying more for orange juice as diseased crops plague the world’s largest citrus regions, sparking a 55 per cent price rise for a key concentrate used in most juices.

Horticulturalists are warning citrus fruits are facing an “apocalypse” as a crop disease called Huanlongbing (HLB), also known as citrus greening, devastates farms across Asia, the Americas and Africa.

Brazil, one of the world’s largest orange exporters, has had production plunge more than 20 per cent, while orchards further north in Florida have seen yields plummet by about 90 per cent.

That has caused a squeeze in global supplies of frozen orange juice concentrate, which is a key ingredient in most orange juices that Australians buy at the supermarket.

Price hike

Prices for the concentrate have soared 55 per cent from $US2.70 ($4.10) per dozen ounces in 2022 to a high of $US4.20 ($6.37) earlier this year, adding significant cost to juice production.

In September, global prices for finished orange juice reached a record high.

Citrus Australia chief executive Nathan Hancock said average orange juice prices paid by Australian consumers have now risen to $4 a litre.

“With the US juice industry struggling on account of HLB affecting yield and juice quality, more Brazilian FCOJ [concentrate] is destined for the US market,” he said.

“[With concentrate] being more difficult to procure and prices at an all-time high, the market demand for juicing fruit in the Australian market has increased and prices have risen in line with the increased demand.”

Citrus disease plagues orange juice

Australians may be dealing with elevated orange juice prices for a while, because unlike other supply shocks such as the fallout from a natural disaster, it’s unclear how production will recover.

That’s because global agricultural authorities are still scrambling to curb the spread of HLB – a bacterial parasite that’s spread by insects and prevents fruit trees from photosynthesising.

Quantis senior sustainability consultant Lizzie Grobbel has described the situation as dire, suggesting “orange juice could temporarily lose its place at the breakfast table”.

“Depending on how steeply prices rise, orange juice may be seen as more of a luxury item or an occasional beverage, rather than a breakfast staple.”

Australian orchards benefit

Scientists are now working on cultivating species of orange, lime and other citrus trees that are resistant to the disease.

But while recent research has suggested there may be some varieties that are resistant, that work is still in its early stages.

Interestingly, however, the disease does not appear to have spread to Australian orchards yet, which means the global orange crisis is actually delivering long-awaited relief to local farmers.

Hancock said Australian farmers are receiving higher prices for juicing varieties of oranges, which is “long overdue”.

“This market correction means producing juicing fruit is now viable and will ensure further investment in the sector,” he said.

“Australian-grown-and-made orange juice is readily available, accessible and affordable in Australia.”

Australian-made orange juice is less likely to use imported frozen concentrate as an ingredient and so even though it has traditionally been comparatively more expensive, it has not risen in price as drastically over the past year.

Major producers are even starting to use less or even no concentrate because prices for local fresh oranges are comparatively more attractive now.