July 28, 2021

The store price of agricultural products soars



From the field to the table, the price of agricultural products It is multiplied by four, according to the Agricultural Products Price Index prepared by the organization of the Coag sector. An apple that the farmer is paid at 0.28 euros, the consumer costs 2.13. The situation has led the countryside to mobilize to demand fair prices for a production, that of the countryside, which is increasingly unattainable for families without it being noticed in the farmers’ pocket. Last year, Vegetable prices soared 12.7%while those of fruits grew 3.6%, according to the data collected by the consultant Nielsen in his report “Consumer Trends 2020” presented today. Eggs (+ 1.5%), bread (+ 2.2%) and meat (+ 3%) They have not escaped this inflationary spiral. The reaction of the consumer to this rise has been buy less vegetables (-3.9%) and less fruit (-3.2%). Eggs, cheap source of protein, or bread have managed to withstand the pull.

The increase in fruit and vegetable prices has a double explanation, according to Nielsen. On the one hand, there is the habit of some consumers to buy more expensive products such as avocados or nuts. But it has also contributed to this increase the rising prices of commodities such as potatoes, beans or onions. Nielsen does not, however, have an explanation about the causes that have led to this excessive price increase.

Comparative

Despite the increase, retail prices of food in Spain are below those of countries with lower income levels such as Portugal or Greece or others that move in the same economic league, such as Italy. While the index of the countries of the euro zone is 106, in Spain that indicator is 95, in front of 115 of France, 111 of Italy, 102 of Germany, 106 of Greece or 99 of Portugal.

The evolution of food prices, which together rose 2.7% in 2019, conditioned the buying habits of Spaniards last year. Even if the total value of the shopping cart increased by 2.5%, to 89,000 million euros, the volume in kilos and liters fell by 0.3% greatly influenced because the share of frescoes, the one that rose the most (+ 4.8%), represents a third of the food expenditure. However, from Nielsen they also point out that, unlike five years ago, Spaniards are now more willing to spend more in exchange for better quality products. “Consumers are increasingly choosing to switch from classic to craft blond beer or from basic to seed bread,” according to Nielsen.

As for the sales channels, supermarkets (74.7%) remain the favorite option of the Spaniards to make the purchase. Hypermarkets recovered in 2019 some market share and placed second (13.3%). In this section, Nielsen highlights the boom that service stations are experiencing thanks to the agreements they are signing with large distribution chains for the installation of convenience stores. Although they barely cover 1.3% of the market, last year they improved their position by 8% at the expense of traditional stores.

.



Source link