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Recent impact of Russian ban on prices for certain EU produce

European Commission presentation on the impact of the Russian import ban on prices for certain fruits and vegetables.

There’s been an upward trend for mushroom prices and stable prices for pears, carrots, kiwis, and oranges and lemons in the EU, according to the European Commission.

But the price situation for tomatoes and peppers has been mixed and there’s been a downward trend for apples.

That’s according to a presentation on the impact of the Russian import ban on prices for certain fruits and vegetables which the Agriculture and Rural Development Directorate made at the February 17 meeting of the Committee for the Common Organisation of the Agricultural Markets.

Hightlights of the presentation include:

MARKET UPDATE

Apples
Prices decreased in the two Member States with the lowest prices (-6.8% to 20 EUR/100 kg in PL and -4% to 26.6 EUR/100 kg in DE).
Pears
Prices registered stability (current prices are 8.8% under the historical average).
Citrus
Prices over 3-year average (22.2% higher for oranges and 6.7% for lemons).
Tomatoes
Significant price reduction in IT and moderate in ES (current average for tomatoes is 9,8% above the 3- year average).

MARKET CONTEXT

Exchange rates of Dollar to both Euro and Zloty: extra-EU exports and opening new export markets more attractive, helping to restore market balance.
New export destinations: The US has lifted an old ban on imports of French apples and pears from, following a bilateral agreement on sanitary controls.
Lower supply in Southern EU due to adverse weather conditions and low temperatures: Positive impact on prices.

SUMMARY MARKET SITUATION

Positive trend:
Mushrooms (downward trend reversed last week)
Price stability:
Pears (BE price = 46.5)
Carrots (lowest prices in NL & PL)
Kiwis (prices much higher than 3-year average)
Oranges & lemons
Downward trend:
Apples (20 EUR/100 kg in PL and 26.6 in DE)
Mixed situation:
Tomatoes
Peppers
 

 

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source:
Evolution of EU prices of certain F&V
European Commission DG Agriculture and Rural Development Directorate C. Single CMO, economics and analysis of agricultural markets

 

 

 

 

 

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More European Commission help for states most harmed by Russian veto

euro comm

 

Amid tumbling prices, the European Commission has promised further aid for member states most affected by the Russian ban blocking imports of certain EU products.

Its additional emergency measures for perishable fruit and vegetables will run until the end of next June. However, its total spending under existing such measure and the new scheme will remain below the €165 million it initially set as the maximum expenditure.

Based on historic export volumes to Russia in the last three years, it says it will now set new eligible volumes for the withdrawn from the market of certain fruit and vegetables for 12 member states.

EU agricultural commissioner Phil Hogan acknowledged that while the current exceptional support programme – which expire on December 31 – eased pressure on fruit and vegetable growers following the Russian ban, “a downward pressure on prices persists for some products in some regions of the EU.”

In a press release, the commission said the new scheme will apply to the 12 member states “which exported most fruit and vegetables to Russia on average during the January-May period (April to May for certain fruit where the January to March period was already covered by the previous measure) during the last three years.”

Before the ban, Spain’s fruit and vegetable sector alone sold “goods worth approximately EUR 225 million to Russia,” according to Spanish member of the European Parliament Esteban González Pons (PPE).

For more information on the EU measures:  “Market support for perishable fruit & vegetable to continue in 2015”