the consumer paid almost 4 times more than what the producer received

the consumer paid almost 4 times more than what the producer received

  • For agricultural products, the difference between the price paid to the producer and the price paid by the consumer on the gondola (gap between price of origin and destination) increased 7% with respect to the previous month.
  • 58.3% of the agri-foods measured increased their gaps between origin and destination, while the remaining 41.7% registered a decrease. Onion and orange were the products with the highest monthly variation, while the lowest occurred in strawberries and lemons.
  • For 54.2% of the surveyed agricultural products, the prices in local stores were lower than the amounts offered by hypermarkets.

On average, the producer’s participation in the final sale price of the 24 agrifoods in the IPOD basket was only 25.9%, becoming the lowest of the year.

In May, the largest gap between price of origin and destination was once again the lemon, where the consumer paid 14.42 times more than what the producer charged. They followed the orange (13.65 times), the zucchini (10.31 times) and the Mandarin, with a difference of 10.3 times. The products with the smallest gaps, meanwhile, were: eggs (1.9 times), chicken (2.12), Strawberry (2.14 times), chard (2.63) and milk (2.84).

In May, 14 products registered increases in their gaps, while 10 presented decreases. These variations determined the monthly increase of 7% in the average differences of the 24 surveyed agrifoods.

IPOD onion: it rose 96.8% and was the product with the greatest increase in its gap in May. The monthly increase is explained by a 32.8% drop in disbursements to producers and a 32.3% rise in consumer prices. Producers commented that the drop in the price at origin responds to an increase in supply, thus “accommodating” the imbalance generated in the April amounts due to the drop in production in the Province of Buenos Aires.

IPOD orange: it rose 58.2% in the month, with drops of 4.6% in consumer prices and 39.7% in producer payments. The lower amounts at origin, according to what was reported by the producers, is due to the lower demand and the little that is sold. Buyers require a lot of quality, but not all producers can offer it due to the droughts that have occurred during the year.

IPOD Strawberry: it fell 22.6%, after registering increases of 65.7% at origin and 28.2% at destination. The variation in the price at origin, as explained by the producers, responds to seasonal issues -it is the last harvest-.

IPOD lemon: it was down just 9.2% in May. It was the smallest gap and occurred with falls of 14.3% in the prices of origin and 22.2% in the destination prices.

With regard to the lack of diesel, an imminent increase in the logistics price and a decrease in the volumes of income in the large fruit and vegetable markets are expected.

On average, the producer received 25.9% of the final price of the 24 surveyed agrifoods. Participation was 5.2% lower than in April and represents the lowest of the year.

The largest participation was obtained by the producers of eggswhich received on average 52.6% of their retail price (although 2 points less than in April).

The worst happened in lemon, where the producer obtained only $6.9 of every $100 that the client paid for that product, although it showed a very slight improvement compared to April.

came.png

Source: Ambito

Leave a Reply

Your email address will not be published. Required fields are marked *

Latest Posts