Andalusia’s growers are facing a situation so complicated, brought about by rising production costs and an increasing squeeze on margins that it could threaten the long-term existence of much of the sector.
This was the assessment of Francisco Góngora Cañizares, from Andalusian cooperative federation Faeca, who was last Friday (25 November) elected as the new president of the Spanish region’s interprofessional association, Hortyfruta.
Speaking in his first interview since taking charge of the organisation, Góngora said his principal aim in charge of Hortyfruta would be to try to obtain as wide a representation as possible in the group from all areas of the supply chain.
However, he also warned that the very future of the sector was under threat as a result of retailer pressure on prices and increasing production costs hitting margins.
“The Andalusian fresh produce sector is going through such a difficult period that it makes you fear for its long-term survival because in recent years it has had to cope with major increases in production costs, which have not been accompanied by, as would seem logical, increases in the prices of products,” said Góngora.
To combat this situation, Hortyfruta’s new president is urging the authorities in each of Spain’s regions to introduce legislation to prevent the sale of fruits and vegetables at below the cost of production.
No comments yet