“Our organic citrus sales this season will be around 14,000 t”
Together with Nacho Juárez, Head of Anecoop’s commercial citrus programme, we analyse the development being recorded in this citrus season where, as he affirms, not everything is negative. Juárez also describes Anecoop’s positioning in organic citrus where this season will reach a volume of more than 14,000 tonnes.
As we are at the halfway point of the season, we wanted to know how the year is developing, both in terms of production and marketing.
The season is developing at different speeds for the different sub-categories. In clementines, the start of the season was characterised by a low supply in all the varieties, except for Satsumas, where supply was abundant. In clementines, there was a feeling of a lack of product until late in the season. In general, there was a strong bargaining position of supply reinforced by a short supply in clementines. So far, the balance in clementines is good, with correct prices and a final sales volume that is not as scarce as predicted on the basis of the forecasts.
For hybrid clementines, the season so far has gone normally. Second season sales are growing with the prospect of correct marketing with an increase in late supply.
In oranges, the start was slow both in terms of orders and supply, with small-sized fruit, low prices for the medium and small-sized lines from very early on and the presence of fruit from overseas until well into the domestic season. As the season progresses, there is a gradual recovery in consumption towards normal levels compared to previous seasons. Definitely, a heavy season with low prices, although no worse than in previous years.
For the lemons group, volume sales are progressively improving as the year progresses, characterised by very discreet prices and rapid sales once the season is underway. Although there is more competition than in recent years, there is an increase in consumption in key countries.
Low prices are marking almost all the fruit and vegetable seasons, especially the citrus fruit season: there is an excess supply due to the arrival of products from other countries, high production costs… What are your thoughts on this?
Well, the increase in foreign competition is natural: their level of costs is lower and their initial profitability is higher for the same return. But Spain has the means to provide a higher average value in the category. It is important to point out that, as we indicated in the case of clementines, it has not all been bad. To improve overall results, the sector needs to become more integrated, develop a policy of passing on costs and follow more efficient and coordinated commercial planning.
Talking to the value, Anecoop has a line of organic citrus fruits…
Anecoop has two partners totally specialised in organic produce and another three with important sections in specialised and approved warehouses. Our total sales of organic citrus this season will be around 14,000 net tonnes and represent more than 3,000 hectares of organic production. In addition, we have a subsidiary company in France specialising in sales across the whole organic range. This is a line where we continue to increase our supply capacity every year. As far as markets are concerned, for us, France is an important market for this segment, followed by Germany and the Nordic countries. Undoubtedly, the increase in consumption in these countries has boosted our sales.
Is this a growing line within Anecoop?
Anecoop is growing in organic products and I am convinced that it will continue to grow, but at a more moderate rate than in recent years. What is also true is that competition between operators is increasing and this development will mean that we will have clear and defined market objectives, always respecting, of course, the necessary profitability of production.