1. CONSUMER AND WHOLESALES PRICES ON ORGANIC FARMING MIPAAF-Italy TAPAS – n° 2007.101 2007.102

2. CONSUMER AND WHOLESALES PRICES ON ORGANIC FARMING Part 1 – The purposes and the organization of the activities Part 2 – The national reference frame Part 3 – Main results and perspectives MIPAAF-Italy

3. 1 The purposes and the organization of the activities

4. The purposes The collection of organic products prices at wholesale and consumer level have been useful: To complete the surveys in the agri-food field to improve organic products statistics to promote market transparency to clarify the role of market dynamics of organic products in comparison with the agri-food market to allow the analysis of the whole organic products chain and a more complete interpretation of the dynamics of the organic products market. MIPAAF-Italy

5. Why two surveys? Since 1964 ISMEA realizes data collecting on products prices at farm gate level, through a special network that allows to get also organic products prices. The availability of organic products prices at wholesale and consumer level, allowed by TAPAS, has made possible to follow prices along the whole chain. MIPAAF-Italy

6. Monitored product categories Vegetables Fruits Citrus fruit Derived in cereals and rice Extra virgin olive oil Eggs Meat Milk and dairy products MIPAAF-Italy

7. Informations arising from the monitoring ● Minimum, medium and maximum price for each product monitored on a monthly basis (see annex desk document); type of packaging (weight of the pack); number and type of brands; type and size of deals and special offers; variety and size of fresh fruit and vegetables country of origin for foreign products (consumer prices) region of origin for domestic products origin for processed products MIPAAF-Italy

8. Methodological remarks (1) The methodology used by Ismea for prices collection is certified by the Quality Standards Requirements ISO 9001:2000 and the activities of collection of wholesale and producer agricultural conventional prices is currently included in the National Statistical Plan. The wholesale and consumer prices collection of organic products has been organized according to the Quality Manual and to the Operative Procedures for Prices Survey of the Ismea Quality System (comply with the ISO 9001:2000) MIPAAF-Italy

9. Methodological remarks (2) So, on the basis of the requirements of the Ismea Quality System has been defined: The structure of the network  number of collection point = 24 at retail level and 20 operators at wholesale level  typology of retail collection point and wholesale operator frequency (monthly) training for interviewer (data detector) file record data MIPAAF-Italy

10. 2 The national reference frame

11. ISMEA has realized a PRICES SURVEY NETWORKS on behalf of italian Agricultural Ministry. The results of this activity, other than for market informations and to observe a lot af national and european rules, are used to produce: –Agricultural products price index (complied in the National Statistic Plan - ISTAT) –Multipurpose survey on household spending (ISTAT) –Index of production costs –Weekly Newsletter - Market Analysis –Refunds for downcast animals (Twice month Bullettin) –Prices for subsidized insurance policies (support is on premiums by Ministery) –Delivery of Prices to MiPAF (Italian Ministery of Agricultural and Forestry policies) and to Commission UE Background Reference (1) MIPAAF-Italy

12. The structure of ISMEA PRICES SURVEY NETWORKS 250 Interviewers (in italian “rilevatori”, people who look for and collect data and information to deliver to Ismea) 400 Places of survey on national territory 25 Agency and International Organism for monitoring foreign prices 216 Products of agricultural and food sector are noticed 25.000 Prices collected every months Background Reference (2) MIPAAF-Italy

13. Standardization Procedures and Models for the survey activity Sending to the “Rilevatori” the standard models by e-mail and a vademecum for survey activity Internal Auditing of the received data Compilations of survey’s models and sending back to Ismea the update files Data file on Db Ismea DATIMA OUTPUT The Monitoring of the “Rilevatori” and the internal process Data Collection by the “Rilevatore The Prices Survey System Operative procedures - Phases

14. Internal Auditing on received data Internal Auditing on received data The recorded prices are subjected to the following internal controls to verify the coherence: comparison with the previous data; comparison with the previous data; comparison with the same period of the previous year; comparison with the same period of the previous year; comparison with the sector trend; comparison with the sector trend; comparison with the prices collected on other places for the same product; comparison with the prices collected on other places for the same product; as possible, comparison with the data of the same places supplied by several “Rilevatori”; as possible, comparison with the data of the same places supplied by several “Rilevatori”; recurrent meeting to discuss about the market trend with recurrent meeting to discuss about the market trend with sector experts and “Rilevatori”. sector experts and “Rilevatori”. The Prices Survey System Operative procedures - Phases MIPAAF-Italy

15. 3 Main results and perspectives

16. Results were presented in 12 monthly reports in which it was analyzed the monthly trend of prices at wholesale and retail trade: by type of product; by distribution channel; in comparison with farm gate prices trend; in comparison with the prices of conventional products with chain value analisys. Main results

17. Main results: some examples

22. Olive oil price trend in 2008 (retail level) : comparison between organic and conventional product

23. Main results: some examples Fresh milk price trend in 2008 (retail level): comparison between organic and conventional product

24. Main results: some examples Bread price trend in 2008 (retail level): comparison between organic and conventional product

25. Ismea has organizing a new network to collect consumer prices of all food products. With this network will be so available prices of organic products in the great distribution channel. To collect prices also in specialized shops and in farmer markets will be evalueted with Ministry the possibility to realize a special network. Perspectives

26. Many thanks for your attention maurizio.esposito@politicheagricole.gov.it p.piozzi@ismea.it MIPAAF-Italy