Spanish wine sector concerned over rising prices, transport strike

 

by IANS |

Madrid, March 29 (IANS) Rising food and energy prices caused by the Ukraine-Russia war, as well as a strike by truck drivers which has entered its third week is leading to widespread problems in the food industry in Spain.

Some dairy factories and breweries have been forced to halt production due to a lack of raw materials, while others have been unable to deliver their products to customers, reports Xinhua news agency.

The Spanish Wine Federation (FEV) has warned that the country's wine producers are currently facing a "perfect storm", which is posing a threat to recovery from the coronavirus pandemic.

Meanwhile, the country's Federation of Food and Drinks Industries (FIAB) said that the transport strike had led to losses of over 600 million euros ($659 million), and was endangering about 100,000 jobs.

"There are difficult times and moments of uncertainty, especially after two difficult years due to the (COVID-19) pandemic," Bertol Izagirre from the winery Bodegas Gorka Izagirre told Xinhua.

The cost of bottles is expected to rise by 14 per cent, he added.

Monica Penas, owner of Velverty Wines in the Ribera de Duero wine region, told Xinhua that there is "a general price rise for all materials, from capsules, corks, and cardboard to glass, and there are delays in delivery of our products".

"We have a lot of international clients, so it is really affecting us," said Casilda Gurucharri from winery Bodegas Mas de Mancuso, which is looking into solutions such as a greater focus on the national market.

However, at least some of the price rises will be passed on to the consumer, she added.

Prime Minister Pedro Sanchez announced on Monday that his government will introduce a series of measures to combat the rising prices.

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