The rain. After the storm, everyone accuses the rain. When the price of light rises, when olive oil exceeds maximums and it becomes more consistent to call it yellow gold instead of green gold ... lack of rainfall is to blame. Do you think olive oil is expensive? If it is.
Who has raised the olive oil?
The bottle of extra virgin category smashes already six euros in the supermarkets. And, although the ticket varies according to stores and locations, they all sell the liter of brand over five euros. The price of Hojiblanca and Hispaniola is 5.99 euros in many supermarkets, while Coosur and Carbonell are traded at 5.98 euros and Señoría de Segura and Borges at 5.1 euros in most of them.
The rise is explained by a very old equation, that of supply and demand. The first is scarce, the second is abundant.
The Spanish olive grove produced 10% less the 2015/2016 campaign. He was not the only one. In Italy the bump was even more expensive, reducing the harvest by 50%. Greece fell 20%, while Tunisia and Turkey each thinned theirs by 15% over the previous season.
There is also no stock after three years of dwindling production. The world pantry of olive oil is empty and, given the shortage in other countries, the outside distribution is practically Spanish.
For a decade there were no similar prices, these are even higher than the crisis of 1995, when the oils were placed at 500 pesetas per liter, again because of the drought.
If you do not, raise your hand to make you sick to the green liquid. Bread tumaca, muffin with oil, vinaigrettes ... Mediterranean diet. Spain is not a country to fry eggs in butter.
White marks, on the other hand, hold less than four euros per liter. Dia sells its extra virgin olive oil at 3.73 euros, Carrefour at 3.99, while Lidl (Olisone) and Eroski go through the box at 3.69 and 3.99 euros respectively.
Differences of two euros between brand manufacturers and white brands. And this, because they can or because they want? Here the mess.
A bird's eye view, the lack of rain seems the main factor of the price increase. The main, but not the only one. This is what the different agents in the sector tell us about. Second, cross accusations and gloved slaps come. They say that there is someone who is interested in raising the price, that there is who does not want to lower it. Because they want to or because they can?
Who speculates with the price of oil?
"Soon we will see the oil at more than five euros per liter." This is the reason Dia gave to allow the aggressive offers of the last months. It was communicated by its CEO, Ricardo Currás, and company sources ratify it to El Huffington Post. The commercial strategy has caused a strong discomfort in the industry, which accuses the company of selling olive oil to losses. But Dia is not alone, the rest of white supermarket brands are kept below the four euros.
INTERPROFESIONAL OIL
With the increase in the price at origin (2.4 euros in bulk, at almost 4 ready to consume), Mercadona tried to pull prices up, "but none of its competitors followed," so he had to recant alone , Explain from the bosses of packers Anierac.
Nothing is happening to the oil, the rains will be coming
Pedro Cheap
At the peak of the production pyramid, Pedro Barato, a veteran of the agricultural policies at the head of the Olive Oil Interprofessional, removes the issue. "The oil is not going to happen, the rains will be coming", Mariano Rajoy welcomes a rise in the price of light. He recognizes, yes, as another member of the Government, Álvaro Nadal, that of a scrambled river, profit of fishermen. "The issue is conjunctural and will happen," he says, "but in these circumstances there are always those who take advantage." Intermediaries ?, he asks. "And distributors," he replies.
Although the Spanish crop, which accounts for half of world production, has been only 10% lower and is in the average of the last five years, global production has accused a very dry summer. The annual global average is about 3 million tons and total consumption exceeds 2.9 million. What was eaten by what was served, practically consumed the entire production. "But this season there is a deficit of 200,000 tons and prices are rising," says Barato. In Italy, for example, home prices closed February at around six euros.
Consumer organizations make a sharper analysis of price hikes. They point out intermediaries, who buy oil down before the start of the campaign and claiming to protect themselves against drought, understand from the Consumers Union. Although the Government considers this practice to be residual, the industry estimates that it is 50%
Although the Spanish crop, which accounts for half of world production, has been only 10% lower and is in the average of the last five years, global production has accused a very dry summer. The annual global average is about 3 million tons and total consumption exceeds 2.9 million. What was eaten by what was served, practically consumed the entire production. "But this season there is a deficit of 200,000 tons and prices are rising," says Barato. In Italy, for example, home prices closed February at around six euros.
Consumer organizations make a sharper analysis of price hikes. They point out intermediaries, who buy oil down before the start of the campaign and claiming to protect themselves against drought, understand from the Consumers Union. Although the Government considers this practice to be residual, the industry estimates that it is 50%
The packers from Anierac deny any type of commercial strategy, and point out that there are only losers in this rise: "Many people have caught their fingers when buying according to forecasts and are now selling at a loss."
Expensive prices until when?
"The usual thing is that prices will be maintained if the oil is still sold at this rate," says Rafael Sánchez de Puerta, president of the Sectorial Council of Olive Oil of Agro-food Cooperatives of Spain, "but if the marketing drops the prices Will slow down, "he says. The old rule: supply and demand are always adjusted, trust, who nevertheless values a possible fall in consumption, although making forecasts at this time of year is a kind of exercise of science fiction when according to the normal development of a campaign that data Can not be known until June.
Will we have less olive oil on a hotter future planet? Will prices continue to be high? Will other cheaper oils come to stay?
INTERPROFESIONAL OIL
The winters of mild temperatures and the scarcity of rain are a threat to the sector if they are repeated in the next years. In fact, in Spain, the new production is moving more and more towards the north and harvests are already found in Navarra or La Rioja.
The situation of high prices will continue until at least May, when the demand is adjusted again by the forecasts of the harvest, explain from Anierac. If that does not happen, the price will continue to be high and although for Pedro Barato the Spanish will not substitute olive oil for other cheaper productions, in the OCU they fear that consumers will mix oils with the consequent damage to their health.
No comments:
Post a Comment