The Spanish lemon industry continues to be plagued by price pressures and high failure rates. The bulk is targeted at the processing industry, according to the Spanish Association of Lemon and Grapefruit (Ailimpo).
“Turkish supply competes fiercely with Spain in Eastern European markets, where the control of pesticide residues often brings opportunities for Spanish distribution,” says the experts.
The good news is that after the season started very slowly in September and October, due to continued exports from South Africa, export data showed a trend in the European market in November and December.
“The bad news is that farmers, packers and the processing industry are operating at a high rate of profit due to high cost increases, declining conditions due to lower South African supply prices at the end of their season and at the beginning of our season. The Turkish giant due to the depreciation of the lira and the impact of the school dropout rate on good lemon groups, in addition, there is pressure to drop prices from supermarkets, who fail to understand that sustainability begins with benefits for farmers and retailers. ” in Ailimpo.
In the medium term, the industry is awaiting a change in Turkish distribution, particularly its impact on the Grade II fruit market.
Grapefruit supply is dominated by Mediterranean countries
According to Ailimpo, the grape market shows its normal behavior for January, pending the purchase of demand.
“Supply is still dominated by fruit from the Mediterranean Sea. Spanish volumes remain stable, while supply from Israel is slightly below average due to heavy rains. Imports from Turkey also appear to be declining slightly, but then given the current situation. Restrictions on standards of hygiene, “they tell Ailimpo.
“In terms of payments, the supply of grapefruit from Florida remains small due to the sharp decline in yields and rising commodity prices.”
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