Impact of Rising Oil Prices on the Fresh Produce Export

Oil is non-negotiable part of our lives. Whether it’s to fuel a company fleet or even a single pick-up truck, petrol prices make a big dent in a company finance. As if this isn’t bad enough fuel prices have shot up internationally.

The impact of these prices are being felt from the basic family car owner to multinational industries. We are of course no exception. Fresh produce export is made possible by transportation. Once the produce is harvested it is transported from the different parts of the country to the sorting and packaging plant. It is then transported to the airport where it is put in various planes depending on the destination. Once it arrives the produce then has to be transported to various stations before eventually getting to the market.

You see, produce remains in transit from the moment it’s harvested to when it gets to a consumer’s table. This means that transportation costs are rising everyday hence weighing more on the production costs. Consequently this may result to rising the produce prices to try and cover the differences that are emerging.

Fresh produce exportation mostly uses airlines. Keeping in mind that the highest operating costs for airlines is fuel, this can only translate to higher airline charges. This may discourage non-essential air travel and put a further burden on the consumers’ wallets. However our industry is essential and has no way to maneuver past these rising prices. We hope that these prices will stabilize or even fall in the recent future.

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