Rwandan exporters are counting losses following disruptions in the Middle East, the main destination for the country’s avocado exports.
More than 90 per cent of Rwanda’s avocados are shipped to Dubai, and recent flight suspensions linked to the conflict involving the United States, Israel, and Iran have made it difficult to deliver perishable produce on time.
As a result, several exporters have already incurred significant losses.
ALSO READ: How significant is Strait of Hormuz in US, Israel-Iran conflict
Annie Justine Uwamahoro, Managing Director of ABCD Great Life Ltd and General Secretary of the Horticulture Exporters Association of Rwanda (HEAR), said that while exporters access multiple international markets with support from the government and partners, most avocado shipments still go to Dubai.
Exporters mainly deal in Hass and Fuerte varieties. "The abrupt suspension of flights disrupted our planned harvests, and avocados cannot be stored for long because they are highly perishable,” she said.
"We identified six companies that were affected due to the lack of markets for already harvested produce.”
Uwamahoro estimated that losses from harvested avocados alone exceeded Rwf100 million, with returned shipments pushing the total even higher.
She added that exporters lack insurance coverage due to the difficulty of finding insurers willing to cover highly perishable goods.
ALSO READ: Govt moves to cushion local fuel market amid Iran conflict
Uwamahoro stressed the need for government support, including help in securing alternative markets and exploring insurance solutions.
"When flights are disrupted, harvested produce can go to waste. Protecting the country’s export reputation is also critical,” she said.
She called for urgent intervention to diversify export destinations.
"The Middle East is no longer reliable. We need support to access alternative markets and explore financial safeguards, such as insurance, to mitigate risks beyond our control.”
Prudence Sebahizi, Minister of Trade and Industry, said the government had anticipated possible disruptions in certain markets, particularly in the Middle East.
As a result, authorities have begun assessing the impact on exporters and products.
ALSO READ: Gasoline prices remain unchanged in latest fuel review
"Very soon, we expect to have clarity on the affected products, exporters, and their current markets,” Sebahizi said.
The government is already exploring alternatives in other regions, including Asia.
"We are looking at markets such as China and India. We will support exporters to penetrate these markets,” he said, noting that the ministry is working closely with the National Agricultural Export Development Board (NAEB) and the Ministry of Agriculture and Animal Resources to address the challenges facing horticultural exports.
On financial support for losses already incurred, Sebahizi said any remedial measures, including compensation, would be considered carefully and decided upon by relevant government stakeholders.