The 2013/2014 onion campaign can be rated a good season, as stated by sources from the sector itself. However, as it usually happens in horticulture, when something is going well for some, it does not necessarily go likewise for others. Growers have managed to reach profitable levels with their production, but traders have had serious difficulties in covering the handling and packaging costs. Despite the low production volumes of large calibres in Europe, consumers have been satisfied with the medium calibres, which prevented the price of Spanish onions of reaching the levels producers had hoped.
This situation, which remained unchanged until the end of the season, has made the end of the campaign bittersweet. "In any case, I always prefer to see the positive side, and perhaps this stability in prices, with no sudden drops or increases, is the reason for the rise in Spanish onion exports to Europe," pointed out Alfonso Tarazona, president of ACEC. In early March, the entity confirmed a 15% increase in the volume of shipments to Europe. "We need to take advantage of the good image acquired this year in Europe and show everyone that Spanish onions are the best in the continent," added Tarazona. He confirmed that the acreage for next season will not grow excessively. The crop yields will determine whether production volumes increase or not.
We may think that because of this great European context, the Spanish industry has forgotten non-EU markets where all hopes are placed in years when the European markets become saturated. Sources from ACEC, as well as other entities, have confirmed that this is not the case. These business lines are still open, although due to certain circumstances, those countries have not demanded Spanish produce.
Despite the current reduction in shipments to more distant markets, the sector continues to demand an administrative harmonisation within the national territory, as there have been several cases of onion containers blocked in Spanish ports as a result of the port authorities not recognising the forms provided by the producing region. "We are also projecting a negative image to our customers, therefore limiting our growth potential in these third countries. It is true that the agricultural competences were transferred to the autonomous regions, but the central government needs to offer us a solution," complains Tarazona.
The key aspects, in short, are to continue in the good path that the Spanish onion sector seems to have taken, and to regain presence in Europe without neglecting those third countries, where it is essential for the mistakes made in Europe not to be repeated again.
Source: RevistaMercados