The sector expects a 5% reduction in the cultivated acreage, which will mostly affect White and Purple garlic varieties, especially in the region of Castile-La Mancha, as they are being pushed by the expansion of Spring garlic.
"The market is not making any distinctions between Purple and Spring garlic in terms of prices. Even though Purple garlic has always stood out for its higher quality, it has lower yields, and given the drop in profitability, producers are making the switch to the Spring variety, which is more productive," explains Luis Fernando Rubio, of the ANPCA.
Unfortunately, garlic production lacks studies compared to other horticultural or agricultural products, and thus the ANPCA is promoting actions to carry out those studies that can help eliminate problems related to physiopathies and their causative agents and ensure an improvement of both the profitability of Purple Garlic and the quality of garlic in general.
The severe crisis in the sector has forced producers to sell their garlic at any price just to be able to market their goods, which has resulted in lower prices. The ANPCA analysed the sector's current and future situation and concluded that after three years of crisis, Spanish garlic producers may obtain acceptable price levels again. The almost complete elimination of the existing stocks of past campaigns can ensure easier market access for the new garlic grown in 2015, as well as a recovery of prices that can bring them back to almost profitability levels.
Luis Fernando also stressed that the marketing sector is more concentrated than the production sector. "We believe that the production sector is still very fragmented and we will work to ensure a greater concentration in order to gain competitiveness," he points out.
Moreover, the sector seeks to continue expanding its exports outside the EU. "We have recovered the Brazilian market and we are increasing our exports to the U.S. We want to open new markets and increase our exports to Latin America, where Argentinian garlic is holding its ground well in terms of prices and will be the largest competitor. Additionally, we are also interested in North Africa, the Middle East and Asia, where we'll find strong competition from Chinese garlic."
The National Association of Producers and Traders of Garlic, ANPCA, currently represents the majority of large garlic producers and marketers in Spain, accounting for over 70% of the country's total sales volume, and around 45% of the garlic produced in Spain, which is Europe's largest producer, with more than 19,000 hectares planted and more than 168,000 tonnes marketed.
More information:
Luis Fernando Rubio
ANPCA
Plaza Arrabal del Coso, s/n. Aptdo 66
16660 Las Pedroñeras, Cuenca. SPAIN
lfrubio@anpca.es