The balance of agricultural products is in deficit by 39.7 million euros in the first five months of 2022

The effects caused to the balance of agricultural products of the country due to Russia’s invasion of Ukraine are significant.

The increase in the price of fuel, energy and in general the cost of production results in an increase in the price of agricultural products.

According to ELSTAT data processed by the Association of Greek Enterprises Exporting, Trading Fruits, Vegetables and Juices INCOFRUIT-HELLAS, in the first five months of 2022 there is a deficit in the balance of agricultural products of 39.6 million euros, when in the same period in 2020 there was a surplus of 510.953 million euros and in 2021 by 459.332 euros.

Exports of fresh fruits and vegetables in the five months of this year were down 11.2% in volume, compared to the same period last year, totaling 643.28 thousand tons and slightly increased in value by 1.3% (587.56 million euros).

Vegetable shipments were down by 12.2% compared to the same period in 2021, reaching 132,902 tons (151,419 tons/2021), while they decreased in value by only 2.4%, reaching 118,306,079 euros (121,259,453/ 2021). Fruit exports also decreased in volume, reaching 510,373 tons (573,013 tons/2021), while their value increased by 2.2%, to 469,252,545 euros (458,995,296 euros/2021).

Also, according to provisional data of export announcements from the Register of Fresh Fruit and Vegetable Traders (MENO) kept at the Ministry of Rural Development and Food, there is a 5.2% decrease in summer fruit and vegetable exports from the beginning of the year to 15/7 /2022 in relation to the corresponding period of 2021.

As the Association’s Special Adviser, Giorgos Polychronakis, told the Athenian – Macedonian News Agency, “taking into account the reduced production of stone fruits due to damage – due to the adverse weather conditions that prevailed in 2021 – the exports of 2022 are developing negatively compared to 2020 by 20.4% in volume due on the one hand to the observed underconsumption in the consumer markets, the loss of three destination countries for our products and on the other to the lack of land workers to harvest them” emphasizing that “the only optimistic thing is the average increase in their selling price which reaches the 14%-15% which, however, do not cover the cost of production and trade which amounts to at least +35%”.

On the contrary, an increase was recorded in fruit and vegetable imports in the first five months of 2022 compared to the same period last year, according to the same data from ELSTAT.

In more detail, fruit and vegetable imports from our country increased by 13.6% in volume (365,495 tons/2022 – 321,860 tons/2021) and by 25.7% in value (308,217,976 euros/2022 – 245,185,052 euros/ 2021). The biggest increase was noted mainly in vegetables (+20%) in volume and by 41.7% in value, while in fruits the increase in volume amounted to 5.2% and in value 14.4%.

“This continuously increasing trend of imports with a parallel increase of 39% in their weighted average price in the five months which, combined with the smaller increase in the weighted average price of exports in the five months by +14%, is a worrying indicator with prospects at the end of the year recording a deficit sign in the balance of our agricultural products” emphasized Mr. Polychronakis, clarifying that “while imports of agricultural products in the five months increased in value by +33.6% (from 2.9 billion euros to 3.9 billion euros) exports only grew by 15.1% (from €3.4 billion to €3.9 billion)”.

“This negative development” he said “comes after two years of 2020 and 2021 when the balance of our agricultural products had recorded after 36 years a surplus of 510.953 million euros and 459.332 euros respectively”.