Greece Faces Rising Agricultural Costs as EU Prices Decline in Q2 2024

agri

While agricultural prices across most of the EU dropped in the second quarter of 2024, Greece saw an 8% increase, a concerning trend that contrasts sharply with the rest of Europe.

According to Eurostat, the average agricultural output price in the EU decreased by 3%, as countries like Hungary (-13%), Poland (-12%), and Czechia (-10%) experienced notable declines. Greece, however, recorded one of the highest price increases, alongside Latvia, Cyprus, and Ireland.

ag1

The rise in agricultural prices in Greece, particularly at a time when input costs—such as fertilisers and animal feed—are dropping, raises concerns for the country’s farmers and consumers. While the EU as a whole saw a 7% reduction in input prices, driven by steep declines in fertilisers (-19%) and animal feedingstuffs (-13%), the higher output costs in Greece suggest that farmers are not benefiting as much from these savings.

ag2

Moreover, the price surge in Greece is largely due to supply-side issues, notably in olive oil production, which saw a significant 41% price hike, exacerbating the situation for consumers. This increase reflects ongoing shortages rather than improved market conditions, making the price rise a negative outcome for both agricultural producers and consumers.

Read more: Eurostat Reports

(Source: Eurostat)