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📦 Lychee

Lychee

HS Code:

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Overview

Lychee (Litchi chinensis) falls under the HS Code 081090, which includes other fresh tropical and subtropical fruits. Lychee is a small, sweet, and juicy fruit native to Southern China, widely cultivated in tropical and subtropical regions. It is highly valued for its unique flavor and nutritional benefits, including high vitamin C content. The global trade of lychee is driven by demand in both fresh and processed forms (canned, dried, or juiced). Major production is concentrated in Asia, with significant export markets in North America, Europe, and other parts of Asia. Seasonal availability and perishability pose challenges to trade, often requiring specialized logistics and cold chain infrastructure.

Total Trade Volume

Approximately $500 million USD

Data from 2022

Source

International Trade Centre (ITC) Trade Map, UN Comtrade Database

Tariff Analysis

Average Rate

5-10% ad valorem

Highest Rate

30% (in certain protective markets like India for non-seasonal imports)

Lowest Rate

0% (under free trade agreements such as ASEAN-China FTA)

Common Restrictions

  • Phytosanitary requirements (pest and disease-free certification)
  • Import quotas in some countries to protect domestic agriculture
  • Seasonal import bans in certain markets
  • Mandatory cold treatment for pest mitigation in markets like the USA and Australia

Market Trends

Growing demand for exotic fruits in Western markets

Increased export opportunities for producing countries, especially in North America and Europe, driving investments in cold chain logistics.

2021-2023

Shift towards organic and sustainably sourced lychee

Higher price premiums for certified organic lychee, encouraging farmers to adopt sustainable practices, though certification costs remain a barrier.

2020-2022

Rising competition from processed lychee products

Canned and dried lychee are gaining market share due to longer shelf life, impacting fresh lychee trade in some regions.

2019-2023

Recent Developments

Vietnam Gains Access to US Market

Vietnam received approval to export fresh lychee to the United States after meeting stringent phytosanitary requirements, including irradiation treatment for pests.

May 2023

This opens a high-value market for Vietnamese exporters, potentially increasing trade volume by 10-15% over the next few years.

China-Australia Trade Agreement Update

Revised terms under the China-Australia Free Trade Agreement (ChAFTA) reduced tariffs on fresh lychee imports to Australia, boosting Chinese exports.

January 2023

Chinese lychee exporters are expected to see a 20% increase in shipments to Australia due to cost competitiveness.

Madagascar Faces Export Challenges

Logistical bottlenecks and port delays in Madagascar have hampered lychee exports during the peak season, affecting supply to European markets.

December 2022

Temporary loss of market share to competitors like Vietnam and Thailand, with potential long-term effects if infrastructure issues persist.