The focus of this study was on the investment potential of citrus fruit agriculture, citrus fruit processing, and citrus fruit marketing. The study focus, thus, was not so much concerned with the development of a solution to a problem as it was concerned with a description, analysis, and assessment of citrus fruit related industries that led to an evaluation of the investment potential of these industries.
It was found that the level of worldwide citrus fruit production is more a manifestation of growing conditions than it is a function of worldwide demand. Per capita demand for citrus fruit and citrus fruit juice, it was found, is relatively stable. Increases and decreases in production levels, thus, typically result in significant commodity price shifts and only modest demand shifts. The demands for citrus fruit, therefore, may be described in economic terms are being relatively inelastic.
It was found that Brazil has been the leading worldwide producer of citrus fruits since the 1988 1989 crop year, with the United States in second place, and Spain in third place. It was found that Brazil is also the worldwide leader in the production of oranges, economically the most important citrus fruit crop.
It was concluded that the agricultural production of citrus fruits will likely provide a more stable base for business operations than will the processing of citrus fruits into juice. Orange production would likely be most stable and profitable in Brazil because of the entre into the European Community that Brazil has for its frozen orange juice concentrate. Grapefruit production would likely be most stable in the United States.
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1 INTRODUCTION ...................................... 1
Study Focus ....................................... 1
Structure of the Study ............................ 1
Study Methodology .....................