FreshPlaza (FP): Stone fruit is once again facing a period of crisis.
Gualtiero Roveda (GR): Unfortunately the peach and nectarine price crisis is due to the fact that the increase in production led to a drop in value of the goods, which therefore must be sold at lower prices.
We also need to consider that peaches and nectarines must deal with competition from a lot of products that never used to be available during this period: table grapes, berries, exotic fruit, apples, Chilean or South African Abate pears. Oversupplies are no longer exceptional.
This is made worse by the fact that the market is characterised by imbalances between supply and demand. As explained by AGCM (Autorità Garante della Concorrenza e del Mercato), one of the main problems of the sector is fragmented supply, which hinders an efficient placement of produce on the market, especially when buyers operate on better organised markets.
FP: In a scenario such as this one, anything can make prices drop...
GR: It's true. Exports suffered the limitations imposed by the Russian ban, the phytosanitary instructions introduced by the Eurasian Economic Community, Turkish competition with lower production costs and the instability of the North African markets. The domestic market was instead penalised by the aggressive presence of Spanish produce.
FP: Was the crisis predictable?
FP: Was the crisis predictable?
GR: I would say so. Despite the same things people have been saying since the 1990s, we're still facing problems. For example, there is no registrar and how can a national strategy be devised if there are no data on crops, lands and production? And how can things be planned without a strategy? Anyway, no data concerning consumption are available as well. Those who deal with agriculture know about this but others usually can't believe the state of things.
FP: How can things change?
GR: So far, change has happened slowly and caused no reaction. We need a big change before it's too late.
