COVID-19 : Mercamadrid sold 3.6% more products in 2020 due to confinement and changes in consumption

Confinement and new consumption habits derived from the pandemic have increased Mercamadrid’s marketing by 3.6% in 2020 compared to the previous year. The data advanced by the municipal director of the joint venture, David Chica, confirm that the fruit and vegetable sector has been the one that has grown the most in recent months.

Specifically, the volume of commercialization of the fruit and vegetable sector reached 2.2 million tons, which represents an increase of 7.4% compared to the previous year. The general director framed these data by the weight that the period of confinement has had on them by shifting extra-domestic consumption to homes, something that largely continues to occur. “The pandemic has benefited the fruit and vegetable sector,” said Chica in the municipal commission for the Economy and Finance. Chica also stressed that Mercamadrid’s activity “has not been affected” by the pandemic. At present, the occupation of the six fruit warehouses in Marcamadrid is 100% by operators.

The volume of commercialization of the fruit and vegetable sector reached 2.2 million tons, which represents an increase of 7.4% compared to the previous year

The volume of commercialization of Mercamadrid reached the committee by the hand of the councilor of Vox Aránzazu Cabello, who regretted that in the Plenary of Cibeles in January the proposal that he presented to benefit from the provision of the General State Budgets (PGE ) that enabled Mercasa, as a partner of the City Council in Mercamadrid, to reduce the fee to 50 percent among operators of municipal markets that registered a decrease in income.

The votes of Cs, PP, More Madrid and PSOE in the Cibeles Plenary They ruled out Vox’s proposal to halve the fee to Mercamadrid operators that have suffered a reduction in their billing income in 2020 because it could “put Mercamadrid at risk”.

The delegate councilor for Innovation and Employment, Ángel Niño (Cs), justified that they could not accept Vox’s motion because, if they did, “it would mean that Mercamadrid could enter into losses in 2021, putting its viability and operation at risk.”

Cabello put on record in the commission of his disbelief at the rejection of this proposal even by the PSOE, promoters of this additional provision, and regretted the data provided by Chica that he did not break them down to publicize those of the “tiny operators”, who are the ones who are suffering losses, as they have been transferred.

«Of the 2.3 million tons sold in 2020, only 300,000 correspond to Frutas Sánchez. It does not give data on small operators because you already defend the big ones very well, you can see what your preferences are, ”he accused the general director of Mercamadrid.

Aránzazu Cabello estimated the percentage of less marketed kilos at 16% among small operators, who provided him with the data. David Chica replied that he could not offer detailed sales details because companies are not obliged to give them to Mercamadrid, which measures its activity with the declaration of access of the merchandise delivered by each carrier, which may be destined for one or more companies or that they can benefit from face-to-face, aisle, long-term, digital sales … etc.

Mercamadrid earned 6.1 million

Mercamadrid closed 2020 with a net profit of 6.1 million euros, which is 25% less than the previous year, when it closed with a profit of 8.2 million euros. The results are framed in a context marked by the coronavirus pandemic, which resulted in an extraordinary expenditure of 1.5 million euros in disinfection and cleaning.

The food unit managed to maintain the figures of commercialization, with 3.1 million tons of fresh food sold (3.6% more than in 2019). The balance of last year shows some differences by subsector, due to the incidence of the pandemic, and Mercamadrid’s fruit and vegetable sector is the one that obtained the best result (+ 7.4%). In addition, he pointed out that changes were observed in the consumption and distribution channels with an increase in domestic consumption.

Companies in the fresh fish and seafood sector, as well as the meat sector experienced a decrease in the consumption of some products, more oriented towards their consumption in the hospitality industry, one of the sectors most affected by the pandemic and a regular customer of Mercamadrid companies.

In contrast, the growth in household consumption of fruit and vegetables in 2020 is over 10%, according to data from the Ministry of Agriculture, Fisheries and Food. This trend, they say, has been reflected in the marketing of the fruit and vegetable sector of Mercamadrid.