The mood of the farmers in South Tyrol remains divided. In 2016 vineyards expect a good year, while the dairy industry faces declining prices. The situation for fruit farmers has improved compared to the previous year, but remains subdued. WIFO – the Institute for Economic Research of the Bolzano Chamber of Commerce has presented these results in the Agricultural barometer.
2015 wasn’t an easy year for farmers in South Tyrol mainly due to the low apple prices. More than 25% of the farmers were dissatisfied with the prices paid by the cooperatives. The profit was also affected by the increase in production costs. Nevertheless, 60% of the farmers could invest in their companies.
The mood of the farmers in the various sectors in South Tyrol remains divided in 2016. Overall, farmers expect satisfactory prices of the cooperatives. And another positive factor is that nearly two thirds of farmers have planned new investments this year.
Fruit farmers look back on quite a difficult year. The 2014 apple harvest was large all over Europe, which led together with the Russian embargo to a decrease in the prices. As a result the prices fruit cooperatives could pay in 2015 was only satisfactory for about 50% of the farmers.
This year the market situation has improved slightly, mainly due to the somewhat lower apple harvest compared to 2014. In South Tyrol the yield was 1.13 million metric tons, about 6% lower than the previous year. The current stocks are about the same level as a year ago, and the wholesale prices of apples are about 5% higher in the first quarter of 2016 compared to 2015. 75% of the fruit producers expect satisfactory prices.
For more information:
WIFO - Institut für Wirtschaftsforschung der Handelskammer Bozen (Institute for Economic Research of the Bolzano Chamber of Commerce)
Georg Lun
Phone: +39-471 945 708
georg.lun@handelskammer.bz.it