Greek strawberry producers faced various challenges for CY 2021/22, and production volume is expected to decrease by 30%. Three main reasons contributed to the reduction:
• Low winter temperatures.
• Low-quality strawberry seedlings.
• Switching to strawberry varieties is higher in demand and easier to handle and transport.
Source: TradeMap
In 2020, Greece was ranked 6th with a share in export of 2.77% (total export value USD 81.91M), which increased in 2021 to USD 136.13M, an almost 40% increase YoY. The top export destinations in 2021 were Germany (export value of USD 46.43M), Bulgaria (USD 19.33M), Romania (USD 13.55M), and Poland (USD 10.85M). The reason for export growth was a rise in the production of fresh strawberries in Greece, which increased from 2016 to 2020 by a solid 27.49%. There are two other reasons for the significant increase in Greek strawberry exports to Germany, Poland, and Eastern European countries. First, the Russia-Ukraine conflict closed Russia and Ukraine to Greek exporters, so they turned to Eastern Europe and Germany. Another reason is the increased strawberry consumption. In 2018, Germany (233K mt) and Poland (203K mt) were among the highest strawberry-consuming countries. A forecast is that the market will continue an upward consumption trend over the next decade, expanding with an anticipated CAGR of 1.1% from 2018 to 2030.
Greek farmers had a fantastic season in 2021, and capitalizing on that success, the acreage of fresh strawberries increased by 20%. Traders are satisfied with the positioning of Greece's fresh strawberries in supermarkets instead of open markets in the past. The supermarket was a new channel of sales for Greek traders, which began two years ago. With the implementation of new strawberry varieties, Spain's lower strawberry production in 2020 due to heavy rainfall, new sales points opened up for Greece traders.
Unfortunately, freight prices and airfreight availability were uncertain because of the Russia-Ukraine crisis. In addition, the rising cost of production, such as low tunnels needed for covering strawberries, energy, and fertilizer, resulted in a decrease in export by 22%, respectively, from Jan-22 to Mar-22. Still, Greek farmers and traders are optimistic for the following season because of high demand. Furthermore, they expect an expansion of fresh strawberries plantations and further investment in production. The Greek government already announced help needed for farmers regarding energy costs; there will be 50% support of the energy supplementary cost derived from the increased value of international electric power price.