Market Trends of Asia Pacific Orange Industry
High Consumption in the Region
The Asia Pacific region has emerged as a powerhouse in global orange consumption. Domestic production in nations such as India and China is supported by substantial imports to maintain a stable supply, particularly during peak demand periods. In India, orange demand reaches its peak from November to January, coinciding with the cooler season. As a result, in 2023, India imported 154,112 metric tons of oranges, while China imported 214,666 metric tons, according to the ITC Trade Map.
China is estimated to become one of the world's largest consumers of orange juice, indicating a rapidly growing demand for citrus-based beverages in the region. According to the USDA FAS report on China, total orange juice production in 2023 reached 17,500 metric tons, an increase of nearly 3% from the previous year. This growth is driven by an increasing preference for convenient, health-focused beverages, particularly among health-conscious younger consumers. To meet this demand, many juice companies in China are expanding the low-cost orange juice market, making it more accessible to a broader consumer base. Additionally, specific Chinese orange varieties, including Lukan, Ponkan, and Swatow, have cultural significance and are especially popular during the Chinese New Year.
The high nutritional value of oranges contributes to their popularity among consumers in Asia Pacific countries such as China, India, and Australia. Consumers increasingly use home delivery services and prefer branded oranges in pre-packed promotional boxes for daily consumption. This trend in orange consumption is anticipated to support market growth in the coming years. The increasing demand for oranges in Asia Pacific countries is projected to drive market growth during the forecast period.
India Dominates the Market in Term of Production
India stands as the largest orange producer in the Asia Pacific region, with production reaching 10.2 million metric tons from 683.1 thousand hectares in 2023, according to the Food and Agriculture Organization of the United Nations. The country's diverse climatic conditions, particularly in Andhra Pradesh, Maharashtra, Telangana, and Madhya Pradesh, provide favorable environments for citrus cultivation.
Furthermore, government initiatives have supported market growth. In 2024, the Agricultural Market Intelligence Centre was established under a research project in the Department of Agricultural Economics, College of Agriculture. This initiative aims to help farmers achieve higher net prices for oranges, potentially boosting production in the state.
India's orange cultivation has seen significant technological adoption and infrastructure development. The implementation of drip irrigation systems across major growing regions has increased water use efficiency by 45%. Additionally, the adoption of high-density planting techniques has increased yields from an average of 12 metric tons per hectare to 18 metric tons per hectare in well-managed orchards, according to the Central Citrus Research Institute.
Domestic market absorption has increased substantially, with rising per capita orange consumption in urban areas. The processing sector has attracted significant investments, supported by government approvals. For instance, in 2023, the Maharashtra government approved the establishment of five orange processing centers in the Vidarbha region. These centers are anti anticipated to boost exports of citrus fruit, predominantly grown in Maharashtra, thereby driving market growth in the country.
