The marketing expectations for the start of the 2020/21 citrus season were very positive after the increase in consumption that occurred at the end of the previous season. These positive sales prospects were noticeable at the beginning of the campaign, as producers and buyers in Andalusia closed many contracts to ensure part of the production, and everything seemed to indicate that prices would be higher and that they would remain relatively stable throughout this campaign. However, the passage of storm Filomena through Andalusia has had an impact on the fruit's value at its origin.
According to the president of Asaja Sevilla, Ricardo Serra, the first part of the campaign was ok, as prices ranged from normal to high. However, there's been a period of uncertainty after Christmas, which coincided with the beginning of the Navel harvest, due to the cold storm. Serra is optimistic. He believes this situation will be resolved in the next few days and that the campaign will flow well.
He said that the prices of the Navel Lane Late can stand at 30 to 35 cents/tree and that there had been a jam in the smaller caliber, between 7 and 8, which are sold in meshes.
The prices of the Tango Clementines are expected to be a little lower than usual. The president of Asaja-Sevilla said the cold weather complicated transporting the oranges but helped increase consumption, so they expect a good recovery.
UPA Andalucia stated that the frost had dehydrated and burned many citrus fruits, causing some farms to lose up to 50% of their fruit; a fact that is being used by some operators to back down from the agreements they had already signed with farmers to drop the prices they had planned to pay.
According to the organization, the price of the Salustiana at origin has dropped to 0.18 euro per kilo, the price of the Navelina has dropped to 0.16 euros per kilo, the Late variety has dropped to 0.28 euro per kilo, and the oranges for juice have gone from 0.18 to 0.12 euro per kilo.
As a result, UPA Andalucia has asked the government to enforce the Food Chain Law so that the prices of the contracts are respected and so that reference prices cover the farmers' production costs.