BOTH PRICE AND CONSUMPTION OF PARMIGIANO REGGIANO INCREASED IN 2007. PARMIGIANO IS ALSO AWAITING ITS SENTENCE IN THE EU COURT, HAS SIGNED IMPORTANT NEW SPORTS SPONSORSHIPS, AND IS EXPECTING NEW CATTLE FEED REGULATIONS

In 2007, a balance seems to have been reached between the increase in consumption, the decrease in production and stock, and the increase in prices for Parmigiano Reggiano cheese.
The balance, which was presented recently in bologna, revealed that the average production cost for 2007 was 7.80 euros per kg (+11.1%). Peak production costs were reached in September at 8.39 euros/kg, very far from the historic minimum of September 2005 (6.45 euros/kg), but still below the 9.36 euros reached in January 2004.
Overall consumption by the end of 2007 grew by 1.2% and stock fell by 3.5%. Consumption levels grew largely because of exports, which increased by 9.6% as well as consistent growth within EU countries, with an increase of 13.55%. After its fall of 1.48% in 2006, production levels had a much smaller decrease in 2007 of -0.40%, due to respect of the production plan that allows for a maximum of 3,125,000 rounds of parmesan and which the 437 companies (that include 4,291 cattle farmers and 20,000 employees) stayed under with a total production of 3,077,000 rounds.
“The positive results for cattle breeders in regards to prices” – commented the president of the Parmigiano Reggiano Consortium, Giuseppe Alai – “were almost completely eroded by the increase of about 10% in costs for, above all, feed and energy”.
As for the good market results in 2007, the Consortium hopes to make it even better in 2008 with an intense marketing campaign: “We have recently signed an agreement to become the official sponsor and supplier of ‘Casa Italiana Coni’ for the 2008 Beijing Olympics, the Mediterranean Games in 2009 and the 2010 Vancouver Winter Olympics”.
For international markets, the ruling by the European Justice Court on whether Germany should be allowed to use the term “Parmesan” will be made by the end of February. “We hope that the Court” – stated Alai – “reconfirms the decision of the head attorney, who decided against the use of the word Parmesan, although it still does not satisfy the hypothesis that Germany should be responsible for tracking contraband”.
There are also novelties in store on the food front. Though, 90% of feed for Parmigiano Reggiano producing cattle is already derived from local production, there is still a part derived from soy that is imported, with consequential GMO risks. “Though it has been proven that the eventual presence of GMOs in milk are not passed from soy” – explained Alai – “we are studying a production plan with the Emilia-Romagna Region for proteinic products, like fava beans and peas, so that the feed of our cattle comes entirely from local sources”.
The territory as production source is becoming increasingly the goal: the Parmigiano Reggiano Consortium, in fact, is waiting for the go ahead from the EU for a modification of production norms that would establish that each step of the production process (portioning, packaging, grating) take place within the Parmigiano Reggiano area.