Spain's grain farmers to protest against imports

 

 

Farmers from one of Spain's leading grain-producing regions have warned they would protest against imports, which are undermining prices to a level they are unable to make ends meet.

 

Spain is expected to import more grains as its grain deficit widens, caused by the country's harsh climate, poor soil and yields, and a lack of arable land.

 

But the influential Young Farmers' Association (ASAJA) said farmers from the south-central Castilla-La Mancha region would hold a demonstration on Thursday (Oct 8) in the eastern port Valencia.

 

Imports pressurise domestic prices and make it difficult for the sector to survive, according to a statement by ASAJA.

 

In this summer's harvest, Castilla-La Mancha accounted for about 25 percent of Spain's barley production and 10 percent of its wheat.

 

Grain merchants' association ACCOE estimates that wheat and barley prices have fallen by 37 percent since last year's harvest in July 2008.

 

Growers said they have been offered farm-gate prices of EUR108 (US$159) a tonne for barley, but many prefer not to sell at those levels.

 

Traders say that port prices for grain have decreased due to pressure from bumper harvests in northern Europe and lack of demand from Spain's crisis-hit livestock industry.

 

Farmers said low prices will put many of them off planting wheat and barley this autumn.

 

Alejandro Garcia, agriculture spokesman for the COAG union, estimates that 20-25 percent of areas typically yielding a low 1,000-1,500 tonnes per hectare of winter wheat and barley could be left fallow.