The managing director of Dcoop, Rafael Sánchez de Puerta, has backed this Monday the decision of the Government of Spain to take 12% of the olive oil production from the current campaign out of the market, considering it is the “only possibility” to “balance supply and demand” and achieve that it “can have a certain effect on the recovery of prices”. “It is a very guaranteeing measure.”
In statements to Canal Sur radio collected by Europa Press, Sánchez de Puerta said that the retention of oil “is going to have a positive contribution for the market because, in the end, what is intended is that in some way there is a match between supply and demand. That is the objective of the measure.”
The central Executive has insisted that this action seeks “to ensure that the entire sector is profitable” and safeguard the primary producer, so that it maintains profit margins in a campaign marked by high production. Harvest forecasts are at 1.6 million tonnes and stocks from the previous campaign at 357,000 tonnes, which represents an overall volume close to two million tonnes, as the Delegation of the Government has recalled in a press release.
The system that allows setting aside part of the product when a situation of overproduction occurs is provided for in the operating regulation of the Common Organisation of Markets of the European Union. In this regard, the managing director of Dcoop has stated that “a lot of demagoguery” is being used with the instrument put in place by the Government because, although “we would like other measures, today for today we do not have them”.
With regard to the purchase of Deoleo by Dcoop and Acesur, the head of the cooperative has clarified that the two companies that have acquired Deoleo “we are going to have a long period of time to complete the operation”. Initially, they will have up to eight months for “everything to be concluded”, including the distribution of the brands that they market both Dcoop and Acesur, in order to avoid competition conflicts. “The only step that has been taken is the purchase of Deoleo and now a task will begin that will be important and for which we have a sufficiently long deadline to close all of those agreements.”