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EU: Supply of organic products greater than demand

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Thursday, 28 February 2013

EU: Supply of organic products greater than demand

For the past decade, consumption of organic products in central and northern Europe has grown substantially, motivating producers to convert their crops and acquire organic certifications. However, "in recent years the supply of organics has increased so much that it is now greater than demand; as a consequence, average prices are going down," explains Fernando Martín, Manager of a Spanish cooperative devoted to the handling and commercialisation of agricultural and sub-tropical products.
Approximately 30% of cooperative's revenue comes from organic products. Due to climatological reasons, during the Autumn-Winter season the production of organic products is exclusively Spanish, and in Spring-Summer its export markets also compete. Its main export market is Germany, with 60% of the production, a market which, according to Fernando Martín, is growing. Other relevant markets are France, the Netherlands and Denmark, and to a lesser extent, the UK, Sweden and Switzerland. The most demanded bio product is the Dutch cucumber.
These organic products are distributed under the own bio brand, although many supermarkets are labelling them with their own brands.
From the month of April this year, the cooperative will also start selling organic avocados.

Source: Fresh Plaza