There's currently more strawberry demand than supply. At Coöperatie Hoogstraten, this winter's area of lit cultivation returned to pre-crisis levels, even expanding slightly. Prices stayed good until the end of the year but have since dropped significantly. "This winter, our lit cultivation area may have been the largest to date, but a never before experienced combination of factors caused a price drop," begins Michiel Vermeiren.
The Belgian cooperative is at its winter production peak. "This year, we have 11 hectares of lit cultivation, more than ever. Since the energy prices stabilized, some of our growers decided to plant a winter crop of strawberries again this winter. That could have been more, but at the last moment, two decided not to take the risk and left their greenhouses empty."
However, the strawberry market is oversupplied at the moment. "Along with our area, more lit cultivation has been planted, relatively close together, elsewhere in the Netherlands and Belgium. So, there's too much product on the market to reach decent prices. Prices of €5 to €6 per kilo are too low for growers to cover costs. Despite the stabilized energy prices, other high costs still make cultivation expensive," says Michiel.
Strawberries are not just a summer product
Besides supply, reduced sales also cause too low prices for the time of year. "Several traders decided to leave their shelves empty this winter after last year's local strawberry shortage. Also, customers often perceive strawberries as a summer product. You see that in restaurants, too. They offer strawberries with ice cream, but only in season. We must make people aware that we have them available all year, so the whole year can be considered strawberry season."
"All these factors make trade slightly more difficult, but there is - especially adding Spanish strawberries - more than enough on the market. Of course, we try to distinguish ourselves with Hoogstraten strawberries, which is why some buyers remain actively loyal to daily auctions. They prefer the consistent quality we offer over the unpredictable Spanish supply," Michiel explains.
He, however, expects prices to start rising in the coming weeks. "There's been a strawberry supply peak since last week, but prices should begin to recover by the end of this week. The supply will decrease, and demand traditionally increases towards Valentine's Day. We can, thus, return to decent price levels."
"Hopefully, we can end the winter season well for growers. That would be most welcome; these tough weeks with such prices make growers doubt growing winter strawberries again next year. They must keep covering their costs," says Vermeiren, "and, if possible, make a little something. For now, prices will likely quickly go in the right direction. Much of the acreage will have been harvested, too."
Season opening
Next, Coöperatie Hoogstraten will focus on the summer season. The official season opening is scheduled for March 20. "It should be another good season, where we expect more kilos than last year. Then, the weather made us miss a lot of production kilos. This year, we see the situation returning to normal. Plus, we've welcomed new growers to the cooperative, so our area will expand," Michiel concludes.
Coöperatie Hoogstraten will also be an exhibitor at the upcoming Fruit Logistica: Hall 27, stand B-71.
For more information:
Michiel Vermeiren
Coöperatie Hoogstraten
59 Loenhoutseweg
2320, Hoogstraten, BE
Tel,: +32 (0) 334 00 211
[email protected]
www.hoogstraten.eu