The Balearic Islands’ Ministry of Agriculture has launched the new Price Observatory, a tool that allows users to understand the difference between the prices received by producers and what consumers pay for agricultural and fishing products. According to initial data, fruit and vegetable producers receive, on average, less than 40% of the final price that consumers pay in shops and supermarkets.

Observatorio de precios. Hortalizas.

Initial data from the Price Observatory

According to data collected in the first three months of operation, farmers in the Balearic Islands receive only 31.1% of the final price for fruit and 39.1% for vegetables. This means that for every euro consumers pay for these products, less than 40 cents reach the farmers. The difference is more favourable for meat and fish producers, who receive 57% of the final price.
The product with the most detrimental differential for farmers is the lemon. Data shows that producers receive €0.33 per kilo, while consumers purchase it for €2.01 per kilo, which amounts to 16% of the final price. In the case of the red pepper, farmers receive 18% of the price, with €0.62 per kilo, compared to the €3.36 paid by consumers.

As for meat and fish products, these percentages are 57.6% and 57%, respectively, which is explained by the fact that “there are fewer intermediaries between the producer and the final consumer,” explained the Director General of Agri-Food Quality and Local Products, Joan Llabrés.

The impact on fresh products

The Director General of Agri-Food Quality, Joan Llabrés, highlighted that this observatory is a historic demand from the primary sector, and its implementation is a crucial step to increase transparency in the food value chain. It also aims to raise awareness among consumers about the impact of their purchasing decisions on the farmers, ranchers, and fishermen of the islands.
This observatory, which in its initial phase focuses on fresh products such as fruits, vegetables, meats, and fish products, will gradually expand to other products such as milk and organic foods.

The launch of the Price Observatory in the Balearic Islands allows, for the first time, access to data that highlights the differences between the origin price and the final price paid by consumers. This mechanism becomes a valuable tool for both producers and consumers to better understand pricing dynamics and the impact on the profitability of small producers.