The watermelon and melon sector rubbed his hands before a summer that seemed favorable. However, now faces a problem that seems to be repeated throughout the sector: the prices lower than expected.
The offer accumulates. The watermelon and melon campaign approaches their Ecuador with prices below the usual and that accumulate new falls, According to the latest data of the Ministry of Agriculture, Fisheries and Food. The prices at the origin of watermelon and melon fell by 26.1 and 16.8%, respectively, the last week of July, the most recent date we have data.
According to These dataAt the end of July, 24.14 euros were offered per 100 kg of watermelon, and € 33.34 / 100 kg of melon. These data are, respectively, 21.3% and 25.4% less than average.
A recognizable trend … To a certain extent, the bearish trend of prices between the start of the campaign and its stabilization towards the middle of summer. The average price of the last five years used to start between € 80 per 100 kg, and then stabilize in prices between € 20 and € 40.
In the case of the “toad skin” melon we see a similar trend in the prices of origin: high at the beginning of the season (close to € 120) that then stabilizes something below € 50 to go down a little more towards the end of August and early December.
… but more marked. What we are seeing this year is a more marked trend. In the case of watermelon, a late starting campaign took prices near the € 100 barrierabove average. During a good part of the campaign, prices were maintained above this average, but now the bearish trend has left prices below what is usually common at this time.
In the case of the price at the source of the “toad skin”, we see a similar trend: a late start of the season, with prices higher than the average (although not so superior) that have continued to descend in recent weeks. This, again, has facilitated that prices end up below the average threshold of the last five years.
Good condition, low demand. The late start of the campaign and low prices disturb a sector that He showed his optimism Before a harvest, persumably, of good quality. However, as explained from the sector, this delay at the beginning of the campaign and a demand that does not conform to the offer have facilitated the accumulation of the product and, with it, The fall in prices.
“Climatologically the watermelon is being very good, accompanied by the demand, but the market has no capacity to assume what is taking place,” he said in statements collected by EFEAGRO Andrés Góngora, sector responsible for COAG fruits and vegetables (Coordinator of Agricultural and Livestock Organizations).
A problem of the entire sector. History is repeated in several agricultural subsectors, such as oil or cereals. After a drought that left some crops on the edge of the disappearance, an excellent hydrological year has allowed crop production to recover.
Something positive in principle, the increase in supply has received as a response a shy demand, which has not been recovered in the same degree. The result of an increase in supply without increase in demand is intuitive: prices falls. The problem is that, in some cases, prices can become so low that they do not allow many farmers to recover campaign costs. We will have to see is what happens with crops such as watermelon and melon.
Image | Paulb75
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