Even though the Institute of Rural Development (IDR) still hasn't published the data of the survey carried out among producers each year, the Association of Producers, Packers, and Exporters of Garlic, Onions, and Similar Products of Mendoza (Asocamen) expects the area cultivated with garlic will decrease by about 25% this season.
According to Fabian Fusari, the president of Asocamen, many medium-sized farmers that have 10 to 20 hectares have told him that they will decrease the planted area a little because of the low prices producer were paid last season and the considerable increase in costs. In addition, he stated, there are small farmers with 2 to 5 hectares who will directly leave this crop in 2023.
Fusari noted that low values responded to a market equation, since garlic is a commodity and its price is defined internationally based on importers' demand and global supply, and in 2022 and 2023 there was much more product in Mendoza than interest in buying it.
Those producers who do not carry out an anti-sprouting treatment or store the product in cold rooms must sell the merchandise between November and February. This caused them to offer their product at very low prices, so purchase values in the Brazilian market did not pick up as the strong marketing period progressed.
In fact, Fusari said, they were not betting on making money, but on losing as little as possible. And, since they had no capital to plant for this season, some missed the ideal date to plant the seeds. “That's why we foresee a significant decrease in the field,” he said.
Source: losandes.com.ar