Purpose : Tahiti vanilla campaign 2016

Raiatea, April 26th, 2016

Dear Friends, Dear Customers,

1) Small reminder on the harvest year 2015:

       The volume of production of Tahitian vanilla has fallen dramatically from 35 metric tons in 2014  to 12 metric tons in 2015 (compared to a normal production > 50 tons of raw vanilla) which makes it the smallest harvest for the  past 35 years !!

       This drop is still due in part to the massive regeneration of the plantations, especially in the Leewards Islands, as well as to strong and heavy rainfalls during the last two wet seasons ( 2014-2015)

       Consequently, it resulted a record level of prices on fresh harvested vanilla beans  sold up to 126 euros/kg !!!  World record !!

2) Harvest Year 2016:

       The current situation is still not at all what we have been expecting.

       We have met a very large part of  the producers in the Windward Islands and leeward islands, and the estimated production in 2016 should reach 25/30 tons of fresh harvested vanilla beans, which is not yet sufficient in regard to the World market demand.

Here are the reasons:

- A good flowering has taken place, but because of heavy rain season ( January, february and April), a lot of flowers and fresh vanilla  beans fell down.

- The regeneration program of plantations on the Island of Tahaa has just produced its first effects in terms of production. First effects from the same program on the islands of Huahine and Raiatea are expected only in 2017.

Consequently

Because of the current Tahitian vanilla beans shortage on the market due to few production in 2015, exporters are in need to replenish their stocks of vanilla.

2016 will be again very complicated as everyone is hungry for vanilla and, we can easily bet that, for this reason plus a very moderate harvest this year, prices will be sustained with the farmers.

Sincerely yours,

Alain ABEL