Low purchase prices leave industrial pepper growers facing heavy losses
Producers say market rates did not cover production costs and some of the harvest was lost while waiting for better prices.
Industrial pepper growers in North Macedonia say this season’s purchase prices left them with heavy losses, as market rates failed to cover the costs of production.
Producers report prices below cost and crops lost in fields
Farmers describe a market in which much of the harvest was bought at prices that do not even cover basic production expenses. According to several producers, despite labour and input investments, a significant share of this year’s yield was purchased below the cost of producing it.
“We have to say that this year, unfortunately, unlike the last few years, industrial pepper growers themselves will remember it because they sold their product at low prices that by no means cover the cost of production. What happened is not clear, the traders themselves know at what price they place the product on the market, however the producer remained handicapped because they buy the product below the cost price,” said Risto Velkov.
Waiting for better offers proved costly for many. Growers report that parts of the crop remained unharvested in the fields while they waited for a higher market price — and waiting did not always pay off.
“We must say that a large part of the production remained in the fields. While farmers waited for the product to reach some price at which to sell it, much of the crop perished because it was attacked by various diseases. So, besides low purchase prices it also faced attacks from diseases,” Velkov added.
Beyond low prices, farmers point to the unpredictability at the start and end of the season. Without stable outlets and reliable prices that cover costs, cultivating industrial pepper is becoming increasingly risky for a number of producers.
Photo: press material from the event
