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Italy is supplying larger volumes at lower prices

Spain: High asparagus prices do not compensate for falling production

Temperatures have fallen again in Granada and the green asparagus production process has slowed down again in one of the toughest campaigns in recent memory for the sector. Even though the acreage has increased by about 25% this year, the lower production will result in lower profits for the growers.

"We are in the final stretch of the campaign and asparagus producers have harvested 30% less than in the previous season due to the weather instability recorded since the months before the start of harvest," explains José Antonio Gómez, president of the cooperative Espárrago de Granada.

During the months of January and February, temperatures were higher than usual, which accelerated the plants' growth; then frosts were recorded which prevented the start of the season. "The asparagus took longer than usual to reach the optimal quality levels for export, and since then, the production process has come to a halt in several stages of the campaign," he affirms.



"Growers will lose a lot of money this year," points out José Antonio Gómez. During the months of March and April, we tend to sell the product at the best price, which ultimately contributes significantly to improving the average price at the end of the season. This year, however, while prices are higher compared to those of the previous campaign, the volumes available are insufficient, with drops of up to 50% in the first stage."

"The feeling we have in the sector is that, since prices are recovering, the campaign may end up with better prices if we are able to maintain the quality demanded by the export markets."

Due to the lack of production, Granada's green asparagus, which is gradually gaining market share in Europe, has been shipped to less distant destinations. "The limited production and high prices have made it difficult to export to Canada, for example, a market where our asparagus are highly appreciated," states José Antonio Gómez.

Italy is bringing prices down
According to the exporter, the asparagus from Granada do not face much competition from large producers such as Mexico or Peru, mostly due to their higher logistics costs; however, he claims that Italy is increasing its production of green asparagus every year and it is marketing them at between 20 and 30% cheaper prices compared to Spanish asparagus.

"It's something unexplainable how they are able to sell them at such low prices, given the low availability in Europe at this time. Maybe they want to position themselves in the market, because their campaign is shorter than ours and they increasingly have a greater production. We have to acknowledge that Italy has also managed to improve the quality of its produce in recent seasons."


More information:
José Antonio Gómez Aguilera
Espárrago de Granada, S.C.A.
T: +34 958513061
M: +34 658770678
joseantonio@esparragodegranada.es
www.esparragodegranada.com
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