In Spain, the mushroom sector is very sensitive to the recession, as mushrooms are not a common product, but a rather exclusive one. This is why current profit margins are very tight for producers established in the national market, taking all costs into account: production, processing and transport. However, the situation is different in the rest of Europe, where their consumption levels are much higher.
"We work with the idea that we need to get through this crisis and hope for better times; otherwise, we will need to learn to do things better," stated Julián Cerdán, manager of the Spanish company Neofungi. "Right now all it matters in the Spanish market are prices. In the past, when you launched a new product, everybody wanted it, but right now prices are the main incentive. This has led us to concentrate our efforts on internationalisation, even though we are aware of the competitive difficulties we are facing."
According to Julián Cerdán, many Dutch firms have relocated production to Poland, where production costs are lower, and have saturated the market over the past few years, taking a dominating position in Europe. For this reason, "we compete by trying to differentiate ourselves with new forms of packaging, such as the laminated, as competing with production volumes is almost impossible. In any case, it will be a difficult task, as both nationally and at European level, the most demanded format over the past 3 years has been the loose format, abandoning the packaging in trays; something which coincides with the beginning of the current financial crisis."
"We work with the idea that we need to get through this crisis and hope for better times; otherwise, we will need to learn to do things better," stated Julián Cerdán, manager of the Spanish company Neofungi. "Right now all it matters in the Spanish market are prices. In the past, when you launched a new product, everybody wanted it, but right now prices are the main incentive. This has led us to concentrate our efforts on internationalisation, even though we are aware of the competitive difficulties we are facing."
According to Julián Cerdán, many Dutch firms have relocated production to Poland, where production costs are lower, and have saturated the market over the past few years, taking a dominating position in Europe. For this reason, "we compete by trying to differentiate ourselves with new forms of packaging, such as the laminated, as competing with production volumes is almost impossible. In any case, it will be a difficult task, as both nationally and at European level, the most demanded format over the past 3 years has been the loose format, abandoning the packaging in trays; something which coincides with the beginning of the current financial crisis."
Furthermore, transport is another limiting factor when attempting to export, according to Julián.
"For the time being, Neofungi has a regular presence in France, where we ship approximately 7% of our production, and we have already started in Portugal. We tried to reach an agreement with Germany and the United Kingdom, but unfortunately mushrooms are limited in terms of transport due to their short shelf life, as with journeys longer than 24 hours, problems start to appear."
After just 3 years since it was founded, the young cooperative Neofungi is a leading producer of fresh mushrooms in Spain, handling a total of 6 and a half million kilos, 90% of which corresponds to white mushrooms, and it is formed by three cooperatives of the region of Manchuela, Castile-La Mancha, which in turn accounts for 50% of the national production.
Neofungi produces its mushrooms in controlled-temperature rooms. By means of computer programs, they provide mushrooms with the necessary temperature depending on the season, allowing them to supply the product all year round. "It is a very costly production process, but it allows us to supply regularly and with a consistent quality. We can say that, in terms of quality-price rates, our products are the most affordable in the market," affirms Julián Cerdán.
Neofungi to exhibit for the first time at Fruit Attraction
It is worth noting that Neofungi will attend the Fruit Attraction, in Madrid, for the first time as exhibitor.
"One of the reasons for our presence at the fair is the presentation of our internationalisation project, carried out in partnership with the company Campotrading, for the export of our products," explains Julián. "At the fair we will also focus on the promotion of the Portobello; a much more delicious and aromatic mushroom, although widely unknown in Spain. Many tend to think that it is in bad condition due to its appearance, but it is quite the opposite, as it is the one that most resembles wild mushrooms in terms of flavour and qualities without such a big difference in price."
"Additionally, we will present a Brazilian variety which we are planning to introduce known as Champiñón del Sol (Mushroom of the Sun), which has many proven medicinal properties."
"We invite everyone to visit our stand between 16 and 18 October so that they can see the way we work."