Disappointing harvest of Spanish crops
A decline in feed for ruminants and a reduction in poultry housing
resulted in a 6% reduction in Spanish feed stuff output. The harvest fell to
20.32 million tonnes in 2006 according to the final estimates from the
Confederation of Spanish Feed Stuff Manufacturers
The price increase for raw materials is due to a
lower-than-average harvest in 2006 and increased demand from the bio energy
industry. The increased cost has not lead to increased prices for customers. The
extra costs have been taken by the producers themselves.
prices remain high in the longer term, the increased cost will reflect in higher
prices at retail level, Cesfac said. Cesfac president, Enrique Ulloa, emphasised
that it is the first time in 15 years that Spanish production has fallen and
Spain now stands as the third-largest European producer of feed stuff, behind
France and Germany.
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(Source: Agra Europe)
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