AIEAA Conference 2013 Parma, 6‐7 June 2013
Between Crisis and Development: Which Role for the Bio‐Economy
Organised Session 3 Agricultural and agro‐food local systems: is the territory a key resource to face the economic crisis?
LOCAL INSTITUTIONS, COOPERATIVE SYSTEMS AND EXPORTS IN THE Sonia Marongiu National Institute of Agricultural Economics APPLE LOCAL Trentino Alto Adige DISTRICT IN [email protected] TRENTINO ALTO ADIGE
Historical importance Description of the area Importance of the fruit growing sector in Trentino Characteristics of the farms The importance of Cooperation Scheme of the system of apple production Remarks The cultivation of apple in Trentino Alto Adige is documented by historical evidences: Toponyms (Malè, Malosco, Pomarolo, etc.) Carte di Regola (1564 Villa Dardine, 1641 Cles) Commerce with Austria and Russia in XVI century
Starting from XIX century the general organization of agricultural sector changed:
1874: foundation of the Institute of San Michele all’Adige 1888: the fruit growers won the first prize in the Empire Fruit Exhibition in Vienna 1895: foundation of a Society for the fruit trade middle of ‘900: reinforcement of the Cooperative system, introduction of new varieties (for instance Renetta del Canada) and new cultivation techniques.
Area of PDO “Mela Val di Non” (Reg. EC 1665/2003) Consortium Melinda Golden Delicious, Renetta Canada, Red Delicious 55 Municipalities 1,256 km2 (20% of the provincial territory) 57,621 inhabitants in 2011 (+6.4% over 2009; 11% of the population) 1 inhabitant in 14 has a farm (1 in 58 in the rest of province) UAA 30,323 ha (7,275 ha of fruit; 59% the apple surface) 2,800 farmers : 2,500 are fruit growers of whom 90% produce apples
Other productive areas are located in Valle dell’Adige, Valle di Cembra, Valsugana, Vallagarina, Valle del Sarca e Lomaso.
Consortium La Trentina Value and variations of GDP and Added Value in Trentino (basic prices, millions of euro, current values) Source: National Economic Accounts
Agricultural value production in 2011 and variations (current prices, ,000 euro) ‐ Source: National Economic Accounts
Agriculture, silviculture and fisheries = 4% or total added value
Fruits = 42% of agricultural value production
According to the data from the 6th ISTAT Agricultural Census of ISTAT of 2010, the UAA in the province of Trento is 137,219 hectares, the majority of which (81%) is occupied by permanent meadows and pastures. Arable crops are of marginal importance (2%) while woody crops cover 17% of the provincial UAA, of which slightly less than 11,000 hectares are used for apple cultivation.
A total of 5,864 farms grow apples in Trentino, with an average orchard UAA of 1.8 hectares. The sector is characterized by high fragmentation with a large number of farms in the smallest size classes.
Number of farms and average size of the apple orchards in Trento (ISTAT, 2010, 6th Agricultural Census) decreasing in the productive surface (‐20% on 2000) increasing in the yields from 39.3 t/ha to 47.9 t/ha (intensification and specialization) GPS is increasing 2011: high production due to the varietal renewals (Apple proliferation)
Apple: UAA, production and yields in Trentino Year ha Tons t/ha 2000 11,967 470,000 39.3 2001 11,931 479,500 40.2 2002 11,882 425,000 35.8 GSP of Apple production in Trentino (,000 euro) 2003 10,568 357,532 33.8 2004 10,555 365,318 34.6 2005 10,050 448,919 44.7 2006 9,800 362,919 37.0 2007 9,800 458,774 46.8 2008 9,800 433,073 44.2 2009 9,700 421,225 43.4 2010 9,512 433,598 45.6 2011 9,500 504,278 53.1 2012 9,500 455,070 47.9
The apple production chain in Trento is characterized by
High number or small (often family‐run) farms High level of cooperation between different actors; Presence of important specializations at every level; High degree of vertical and horizontal integration.
COOPERATION. Around 95% of apple production is managed by aggregated structures 1° level: 29 Cooperatives 2° level: 4 Producer Organizations 3° level: 1 Association of Producer Organizations (APO)
The Cooperation does not just regard the agricultural phase but also Irrigation Nursery Training and research Commercialization Consortium for Irrigation (*) CIF – San Michele all’Adige Insitute Machinery N Consortium for Fruit Innovation FEM Edmund Mach Foundation (*) O Fertilizer, Plant protecion, work V Province, Chamber of Commerce A Consortium of Technical Assistence M Nurseries Nurseries(*) E L 5.864 farms and 10.798 hectares of A Work Utilized Agricultural Area cultivated with apples *
V PO CIO Fruttunion a (interregionale BZ) Mezzocorona PO PO r Cooperative La Trentina Melinda i 6 Cooperatives, 1.013 16 Cooperatives, 5.058 e Private associates, 1.766 ha associates, 6.600 ha t y APOT (*) C l u b Local and National Market s (all regions in Italy) VIP,VOG, Val Venosta Rivoira Marlene Italy
EU Markets (Germany, Austria, Scandinavian countries, Spain, France) EU Extra EU Markets Consortium FROM (Russia, India, Mediterranean countries) Extra EU
In Trentino the POs have made large investments to improve the handling conditions and the cold chain from the producer to the consumer. In this way also the smallest farms can reach the market and the apple supply is guarantee for 12 months. All the member of POs in Trentino participate in quality control systems such as marketing standards or the EPD (Environmental Product Declaration; la Trentina, Melinda, VIP e VOG) POs in Trentino have been able to increase their focus on the market and better adapt supply to meet consumers’demand thanks to research and innovation: creation of new varieties (i.e. Variety Clubs), new ways of presenting products and new products (labelling marketing), territorial marketing with tourism sector, etc. The presence of the PDO introduces a standardization of productive parameters and objectives. The system provides consumers with information, transparency and loyalty of commercial transactions In Trentino the operational programmes of POs have developed the rational use of phytosanitary products through the integrated production techniques. POs are obliged to dedicate part of their fund budget to implementing environmental measures, going beyond regulatory requirements. in Trentino, Cooperatives provide social and regional services for the farmers. Moreover, the Cooperatives permit to improve the strategic position of farmers in the agri‐food chain and this is important in the rural areas, forming the basis of sustainable development in rural areas in Europe. Important collaborations with Alto Adige (FROM, VOG Products) Pesticides (kg/UAA) In Trentino and in Italy (ISTAT): ‐Trentino + ‐Italy ‐
Pesticides (t/ha) and sexual confusion traps in Trentino (ISTAT) The apple production sector in Trentino can be considered as a well developed local system or district, with strong horizontal and vertical relation. In particular, there is a high collaboration between agriculture and research and innovation sector. Training is important. The main element of governance is the cooperation. It plays an important role, giving the high number of small and family‐run farms, affects the whole agri‐food chain and is also extended in Alto Adige (VOG products, FROM). Integrated production: sustainability seems to be one of the most important elements of the sectoral strategy together with the synergic interaction with other sector (apple‐ tourism , apple‐sport, apple‐schools). Strong marks policy The standardization has prevented the discovery and valorization of ancient varieties and the market pressures have selected one product with specific extrinsic characteristics, to the detriment of taste and flavour. There is also a landscape degradation due to the monoculture and the production intensification (Alta Val di Non is working to avoid the agricultural intensification). Thanks for your attention