Last year, the Spanish organic acreage increased by hundreds of hectares at once. This is affecting the Spanish sector, according to Richard Soepenberg. He is Frunet's organic branch's Commercial Manager in Malaga. "The supply is increasing faster than the demand. Organic is no longer trendy. The huge growth of organic products in, for example, the Scandinavian countries, is over. Unfortunately, this expansion has led to a significantly lower average price. You can safely say the Spanish organic sector is in crisis."
Richard with his colleague, Dounia Lasry
According to the trader, the problem lies mainly with the conventional companies. They see the enormous potential in the organic sector, and all start an organic line. "This makes it difficult for the authentically specialized organic businesses who used to always have clients for their products. Apparently, we have to go through this. Companies will find their equilibrium eventually", expects Richard.
The Spanish weather is also not playing along when it cones to greenhouse vegetable production. "Last year, the rains began in November. This year, they started in September already. The summer fruit production's quality is suffering badly. But, the season has only just started, so we will see how things go. There will, however, be much more organic products available", says Richard.
"We see this with products such as the mango. Mango groves are being planted on every bit of open ground in Malaga. This is reflected in the inevitable pressure on prices this season. We do this ourselves. You have to move with the market to survive. I do see a brighter future for the existing organic companies. There will always be a demand for organic products. However, the sector is just expanding too fast at the moment. This quick growth is no good for a stable market situation", he concludes.
For more information:
Richard Soepenberg
Frunet Bio
Tel.: + 34 (0) 952 527 510
Mob.: + 34 (0) 661 684 861
Fax.: + 34 (0) 952 527 511
Carratera de Algarrobo 2,5km
29750 - Algarrobo. MALAGA
Richard@frunet.net
www.frunet.net