Lower prices for watermelons

Prices of watermelons have been declining in the Polish wholesale market for almost all of June, thanks to a significant improvement in their supply. On the other hand, for a large part of this month, we haven't had ideal weather, and consumer interest in watermelons is strongly correlated with weather conditions.

Now that the weather is improving, we can also expect an increase in demand for these juicy fruits. Additionally, cheap domestic strawberries are disappearing from the market much earlier than usual. Strawberries are one of the biggest competitors to watermelons in June and July. If it turns out that the decline in blueberry prices is halted and cherries start to become more expensive, watermelons will gain even more attractiveness.

So far, we have seen a significant drop in their prices, as mentioned earlier, caused by an increase in supply coupled with some sluggishness on the demand side of the market. Consequently, we have wholesale prices ranging from 1.50 to 3.00 PLN/kg, depending on the country of origin. This is cheaper than one and two years ago (the average was 3.00 PLN/kg then, now it is 2.25 PLN/kg).

Our chart shows two important things. First, the price drop has been so dynamic that watermelons are currently priced below the average of the previous five years. Second, we see that the downward trend in this market usually continues until the end of July. Can we expect further declines in watermelon prices this season?

It is highly likely, although the pace of this downward trend will certainly slow down. If hot weather stabilizes in Poland for the rest of June and into July, this trend could potentially come to a complete halt by the second decade of July, and watermelon prices would stabilize. After all, they have already dropped significantly.