Agri-food prices from origin to destination multiplied in July by 3.4 times, which is equivalent to the fact that the consumer paid 3.4 pesos for each peso received by the producer.
From the farm to the gondola, food prices tripled in July
The prices of the farm to the gondola multiplied in July by 3.4 times. This was determined by the Price Index at Origin and Destination (IPOD) prepared by the Regional Economies of the Argentine Confederation of Medium Enterprises (CAME).
This data implies that The prices of agrifood from the farm (origin) to the gondola (destination) multiplied in July by 3.4 times, which is equivalent to the fact that the consumer paid 3.4 pesos for each peso received by the producer.
The report revealed that “on average, the participation of the producer explained 26.9% of the final sale prices and the greatest participation was for strawberry producers (60.8%), while the lowest was for lemon producers (8.2%).” The document indicated that “the gap in fruit and vegetable products, of the 19 fruits and vegetables that make up the basket multiplied by 4.7 times in July”.
In the case of livestock products“in the five livestock products and by-products that make up that basket, the consumer paid 3 times more what the producer received. Lemon (12.3 times), zucchini (9.6), carrot (8.4), onion (7.3) and orange (6.2 times) They were the five products that presented the greatest difference between the prices of origin and destination.
The CAME report adds that “Lemon was the food with the greatest gap between the producer and the consumer for the fourth consecutive month and he attributes it to the fact that the producer is paid very little and no variations were observed in origin, that is, the amount is maintained from the beginning of the harvest , which was in April.”
Regarding zucchini, “its prices rose both to the producer (30.6%) and to the consumer (45%). On the other hand, in the carrot there was a decrease of 24.1% at origin and 9% by gondola,” the report added.
Onions showed a monthly rise of 3% at origin and 17% at destination. At the same time, the orange had a 12% increase in prices at origin – as a consequence of the droughts there was a drop in supply that caused shortages in the larger-calibre varieties in provinces such as Entre Ríos, which raised its price -, while that in gondola there were no variations”.
Among the products that presented the smallest difference between the price received by the producer and the one paid by the consumer are two of animal origin and three of fruit and vegetable origin. In the case of eggs (2.1 times) – product with the lowest gap for the fourth consecutive month – and the chicken (2.7)usually have integrated production systems, which means that all the actors in their respective value chains are part of the business risk.
While Eggs increased 7.3% at origin and 13% at destination, chicken prices rose 16.9% for producers and 8% for consumers. The increase in origin responded to an adjustment due to the fall in prices last month due to the blockade on exports due to bird flu. It should be noted that the price has not yet returned to previous levels or with the application of the corn dollar, since it directly affects the food costs for these products.
Source: Ambito
