Europe is expecting a good harvest this year, but the market has shrunk with the Russia’s ban on importing fruit and veg.
Good growing weather in 2014 was good in most parts of Europe. The sunflower seed harvest, for example is likely to be the second highest ever gathered. The seeds are used primarily for their oil.
Russia brought in a record yield of wheat and a bumper barley crop. Russia is a major wheat producer. There and elsewhere most cereal crops have been harvested and stored.
Not everyone is celebrating, however. Olive producers, especially in Spain, fear that drought will weaken their crops. Winemakers are also concerned about poor performance after a very wet and cool July.
The Douro area suffered mildew problems which could affect quality and quantity.
Wet weather in August prevented combine harvesters from gathering all the wheat grown in Germany and France.
Fruit and vegetable crops promise to be good in most countries. Russia usually buys about a third of EU fruit and veg but now is refusing to import in retaliation for sanctions imposed over Russia’s alleged involvement in the fighting in the Ukraine.
The EU has promised to compensate growers for lost sales and has pledged €125 million for this.
Spain is the biggest olive oil producer in Europe, but observers feel the crop will be much diminished because of drought.
Comments
And where does this €125m come from? We shall probably be assured by Ms Albuquerque that the ordinary taxpayer will not be affected.