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Steel crisis affects Italian canned tomato market

The production sector is at risk of running out of cans: rising raw material prices have an impact on costs.

steel crisis
Steel crisis affects the Italian food market

The steel crisis is affecting the Italian food market. There are no more cans for the production of pickled tomatoes

The peeled tomato supply chain should run out of containers from July onwards, the month in which the tomato harvest begins, warns the Coldiretti, the association representing Italian farmers.

Tomatoes are one of the most important foods in the Mediterranean diet and Italy is the world leader in the production of tomato derivatives.

The sector is at risk of running out of cans: the increase in raw material prices, in fact, has an impact on costs.

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Collapse of demand

The world's main steel companies, mainly linked to the automotive industry, reduced steel production with the spread of Covid, which caused a collapse in demand in the automobile market. 

Some consumer products, however, experienced a real boom with the pandemic: among them peeled tomatoes e tomato paste.

With the recovery of the economy, producers were unable to keep up with demand in different market sectors. 

The biggest problem is the lack of tinplate, which runs the risk of seriously compromising the supply chain for canned products, from pulp to Italian tomato puree.

The sector is at risk of running out of cans: the increase in raw material prices, in fact, has an impact on costs.

Steel crisis: higher price for consumers

The crucial moment in processing the tomato in Italy it falls between July and September: packaging production, however, must be planned well in advance. 

The steel crisis caused prices to rise, affecting production costs and, consequently, consumers.

Steel represents the primary packaging of tomatoes and legumes, accounting for 65% of the total. 

The crisis of raw material and the incidence of costs have repercussions on packaging: with other increases such as energy, transport and costs associated with other packaging components, prices tend to rise.

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