Direct Aid to Fruits and Vegetable sector (Andalucía)

Editor's note 20Mar14: Sources D142-6. and D342-4.

In response to Regulation (EC) No 1182/2007, which lays down specific rules as regards the fruit and vegetable sector, the Spanish National Strategy for sustainable Operational Programs defined objectives and actions with a view to increase commercialisation and stabilise producer costs. The Andalucían Oranges Program is an example of implementation of the National Strategy in the fruit and vegetable sector through an integrated agro-alimentary project. The fruit and juice company Garcia Carrion (main policy actor) has received more than €70 million from EARDF to build facilities in the Andévalo area (opened in 2006). The original scope of this project was based on orange deliveries of 7,000 hectares of integrated orange plantations. The company emphasises that the input of oranges is realised through long term agreements with plantations situated throughout the entire Huelva province. The objective for 2006 was to realise a production of 80 million litres of orange juice and sales of €250 million. The project yields a total yearly production of 160 million litres of juice.
The processing plant in Western Andévalo is able to process 200,000 tons of oranges and 120 million litres of fresh orange juice per year. The plant is surrounded by orange plantations of which 1,500 ha that directly surround the plant belong to the company itself. To reach full capacity the plant needs the raw materials from 8,000 ha of citrus groves. Further conversion of 3,000 hectares into orange groves is under way by local farmers under long term contracts.

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