"Argentina: "Raisin production down 30% this campaign"

The decline in this year's production of Argentine grapes caused by climate change not only affected exporters of fresh fruit, but also the marketing of derivatives of this fruit. Production is 30% lower than in past years, mainly because of the continuous rains and hail that negatively affected the harvest in April.

Dried grape production, for example, had a similar variation to fresh grape production. "Climate changes affected all our producers of this fruit. We hope the new policies being taken by the current government will improve our next season. Argentina has regional economies and each province has some particularity, which also applies to the production of grapes. These regions have been hit by the policies of the previous government. If some current economic distortions are corrected, we can use our potential in better way," said Oscar Frezzi, from the Frezzi company. 

Given that the vast majority of producers of this fruit are small and medium businesses, the government is implementing a program that studies the possibility of allowing special credit lines so that these companies can grow and develop. "At the national level, it's the small businesses that require more workers and therefore generate more jobs. The current government is taking many steps to encourage exports of grapes and raisins. We are confident that these incentives will give a positive result in the short term," says Frezzi. 

It is worth stating that Argentina failed to integrate organic production of grapes because of the measures taken by the Government. "We don't achieve the expected returns because of our exchange rate. The total number of hectares devoted to organic production won't increase nationwide, as long as prices don't encourage these kinds of crops. Currently, prices are average, so our only option to remain in the market is to reduce internal costs."

For more information:
Óscar Frezzi
T: +54 351 4210055
E: lira@familiafrezzi.com

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