Asaja Alicante: Lemon market pressures and policy responses in the citrus sector

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Expectations for the lemon campaign grew brighter, but the situation in the province turned out more intricate than anticipated. Asaja Alicante warned on Wednesday that the pause in sales also mirrors a price drop that threatens harvest profitability, a concern voiced by the organization’s president, José Vicente Andreu. He urged vigilance against offers from some supermarkets that use this product to reduce payments to farmers.

To counter this, Asaja distributes notices across Alicante’s retail chains to halt these offers. They argue that the price should not be driven down, condemning unfair practices that price field fruit below production costs. Such practices are currently prohibited by the Food Chain Improvement Act. The organization claims producers are receiving between 32 and 35 cents per pound, a level that barely covers costs. In this scenario, exporters are also seen as accountability targets, with Asaja highlighting two major players in the negotiation with wide distribution as the strongest representatives of market power.

Compounding the challenge, the organization notes the harvest will be smaller than initially projected. The Ministry of Agriculture reports that a reduction in fruit size, with lemons reaching 65 millimeters instead of the usual 55 millimeters, translates to a drop in total tons harvested.

Asaja Alicante’s president, José Vicente Andreu. Tony Seville

Weather-related damage compounds the crisis. Data from Agrosguro show that about 31.7% of production relied on the yearly crop insurance, with hail affecting Vega Baja contributing to losses. Andreu points out that extreme summer heat creates a sticky glaze on the fruit that causes many lemons to drop prematurely. The result is a forecast of fewer than 900,000 tons of commercial lemons available for fresh consumption annually.

September hail events caused significant losses in the state’s lemon output, underscoring the fragility of the supply chain and the pressure on growers.

Renegotiation

In this context, Asaja Alicante advises farmers not to accept renegotiated contracts as citrus prices continue to fall. They criticize the Citrus Price Information System run by the Conselleria and the Citrus Market for reporting prices that do not reflect true market values, arguing that the data mislead farmers and deepen vulnerabilities in negotiation power.

Additionally, manufacturers are urged to ensure invoices clearly reflect the actual percentage retained during harvest processing. When details are omitted, many signatories end up receiving up to 60% of the harvest for free, while they claim to support the citrus industry. This practice, according to the organization, contravenes European regulations and leaves farmers financially exposed in negotiations and value capture.

Asaja also notes parallel issues with mandarins: problems with small calibers beneath 50 millimeters, fruit that is not collected, and fruit picked for very low prices. Specifically, only 0.65 euros per kilo is paid for the larger calibers, highlighting ongoing challenges across the citrus sector.

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