Ana Villarino. Journalist
The Ministry of Agriculture, Food and the Environment's Sub-directorate General for Differentiated Quality and Organic Production organized a study on foods with Protected Designation of Origin (PDO) and Protected Geographical Indication (PGI) status.
The objective is to contextualize and supplement statistical information available from the Ministry in this area. The analysis does not include PDO and PGI wines and spirits, and is strictly focused on PDO and PGI agri-food products, for which there are 168 registered designations.
The goal is to characterize the production of quality differentiated foods based on their quality/provenance in terms of competitiveness and sales efficiency.
To that end, specific priority indicators of competitiveness and of certain decisive factors and aspects of the PDOs' and PGIs' sales efficiency have been analyzed, yielding the following conclusions.
Analysis of competitiveness indicators
One of the primary indicators of competitiveness is the number of PDOs/PGIs, which is considered high, with 168 quality designations in the market.
As for the performance of designations, there is an upward trend in both the total number and revenues despite the lack of growth in the average size of quality brands and the corresponding companies.
As a result, individual revenues are very low (0.34 million euros in sales per industry, vs. an average of 3.35 million euros in the case of food industries).
Another notable indicator is the concentration of revenues and exports in just a few quality designations.
There is also concentration at sector level, and it is greatest for those agri-food products which are purchased most often by consumers. Dairy is the sector with the highest concentration (30%).
Grouping by autonomous region is also notable, since more than half of the PDOs/PGIs are located in just five areas (Andalusia, Catalonia, Galicia, Castile-León and Castile-La Mancha).
There is also a high level of internationalization, since more than half of Spanish quality brands export, mainly to the EU.
Analysis of sales efficiency
As for structure and production, there is a high degree of specialization and diversification in terms of sales, with regard to both products and geographical distribution. Moreover, quality brands account for a significant portion of employment, especially in rural areas.
In terms of productive infrastructure, future expectations for PDOs/PGIs are positive.
Provenance, quality and safety are the priority attributes in the distribution of these products.
All of them are sold in Spain, and half are distributed internationally.
With regard to distribution channels, specialized retailers are very important, as sales via HoReCa and other industries are very low.
Additionally, communication and sales promotion are not reason enough for purchasing, nor is the PDO/PGI logo, since these products are slightly more expensive than regular products.