The Unió warns of initial prices of white grapes for cava below production costs

The Union denounces initial prices of grapes for cava below costs, warns of formulas that disguise the real payment, and demands to activate vineyard aid.

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The Unió Llauradora has made public some initial purchase offers for grapes that it considers "well below" production costs and warns that it will not allow the crisis "to fall again on the grape growers," as it has stated in a statement.

The agricultural organization thus expresses, along with the rest of the sector, "its rejection of the first purchase prices for grapes that are being proposed for this harvest and qualifies the situation as unacceptable." "While there is repeated talk of sustainability, future, and prestige of the wine sector linked to the DO Cava, some of the first prices for those white grapes that are circulating are situated well below the reference production costs," emphasizes La Unió.

According to the entity, at this moment, prices in the sector are being handled between 0.25 and 0.30 euros/kilo, depending on the winery. "These are quotes that in some cases would be practically half of the reference production cost. This situation, if confirmed, would mean once again loading the economic and commercial tensions of the sector onto the grape grower," La Unió has criticized.

The organization adds that producers "are even more concerned that formulas are proposed that can disguise the price actually received by the producer." "In some cases, only approximately 70% of the grapes would be paid at the announced price, while the remaining 30% could be paid at only 0.12 euro/kg," it has warned.

In this regard, La Unió states that it will not tolerate the publication of a certain price for grapes "if later, through percentages, limitations on kilos, or other commercial formulas, the real average price that the grape grower ends up receiving is substantially lower."

The organization maintains that this year's harvest could represent a "turning point" after years of demanding from grape growers "professionalization, quality, sustainability, investments, adaptation to climate change, and commitment to the territory" and recalls that "all of this is incompatible with paying for grapes below their production cost."

"Clear message" to wineries and large buyers

"The producing sector defends that there will be no environmental sustainability without economic sustainability; there will be no prestige for our wines and cavas if those who cultivate the vineyard cannot live decently from their work," the organization has pointed out, which has launched a "clear message" to wineries and large buyers: "They still have time to rectify and align with the territory, the farmers, and defend a fair model for all."

La Unió trusts that these initial prices "are not the definitive ones" and asks for "responsibility" from all buyers before spreading their purchasing conditions for this campaign. La Unió Llauradora, along with the rest of the producing sector, advances that it will make the official prices public as soon as it has them, especially those that remain below the cost references and the formulas that reduce the average of the total grape acquired.

In this context, it recalls that the Food Chain Law requires that the price received by the producer "must be higher than their effective production cost" and warns that it will also report possible non-compliance. In the same vein, it insists that wineries and cooperatives "should not sell at prices that imply having to pay the farmer below production costs."

La Unió warns, moreover, that the problem described in the cava sector is repeated in red varieties from different denominations of origin, "with the aggravating factor that the market does not value these varieties and it is even difficult to find an outlet for them, especially considering that it was the wineries that promoted this type of plantations that now have no commercial outlet."

For this reason, the organization reiterates its demand to initiate the social uprooting of vineyards, "as one more measure to adapt production to demand," and calls on wineries, producing companies, and buyers to act "responsibly," since the producing sector "is united and will not allow the future of the wine sector to be built at the expense of the ruin of those who cultivate the vineyards."

Criticism of the Government for not activating extraordinary aid

The Unió also reproaches that, in light of this scenario, the Government of Spain "has not activated the extraordinary aids to the vineyard established by law, citing the extension of the General State Budgets." The organization demands the "immediate" application of Law 1/2025 on the prevention of losses and food waste, which contemplated a fund of 370 million euros ‑285 million for dryland olive groves and 85 million for dryland vineyards‑ aimed at the professional farms most affected by the drought and the increase in costs following the Russian invasion of Ukraine.

Likewise, it criticizes that the Executive "has not requested economic support from the EU for crisis distillation," a tool aimed at reducing the wine supply and balancing the market, unlike France and Germany, which will have 40 and 14 million euros in budget, respectively.

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