Vegetable growers’ cooperative DelKerTESZ increased revenue by around HUF 2 billion to HUF 16.2 billion in the first eight months of 2026, supported by higher sales volumes and stronger producer prices for peppers and tomatoes.
The cooperative sold 309 tonnes more fresh-market produce than a year earlier despite another period of extreme heat and drought, according to chairman Sandor Nagypeter.
Based on the reported revenue increase, DelKerTESZ generated roughly HUF 14.2 billion in the comparable period of 2025, implying growth of about 14% year-on-year. The cooperative represents around 450 growers, mostly family farms in and around Szentes, one of Hungary’s main horticultural regions.
Tomato prices rise 22%
Average producer prices for peppers increased by around 10% in January-August, while tomato prices rose 22%. Even after that increase, however, tomato prices remained below their 2022 level. In July and August, producer prices for several vegetable categories were around 9% lower than a year earlier.
Investment helps growers withstand extreme heat
Technology investment has become increasingly important for DelKerTESZ producers as hotter summers put more pressure on greenhouse agriculture. Growers have installed misting systems, upgraded ventilation and nutrient-delivery equipment and modernised greenhouse structures following losses during previous heatwaves.
In 2024, extreme weather reduced production by around 2,500 tonnes. This year, despite heat and drought, fresh-market output increased by 309 tonnes in the first eight months. The cooperative also reported a higher proportion of peppers reaching premium quality categories, reducing the volume sold into lower-value grades.
Stronger forint weighs on exports
Foreign markets remain important to the cooperative, but currency movements have limited the benefit of stronger euro-denominated prices. The Czech Republic and Slovakia together account for around 80% of DelKerTESZ export volumes, while sales to Germany have increased significantly this year.
Hungarian media reported that the euro traded at around HUF 410 during parts of last summer, compared with levels closer to HUF 350 this year, increasing pressure on exporters converting euro revenues into forints.
Growers call for VAT cut to 5%
Nagypeter also renewed calls for Hungary to reduce VAT on fruit and vegetables from the standard 27% rate to 5%. DelKerTESZ argues that lower VAT could reduce the incentive for informal trading and improve the competitiveness of domestic producers.
The cooperative is also calling for the removal of Hungary’s mandatory retail markup cap. Current legislation limits margins on designated food categories to no more than 10%, while also linking them to historical margin levels.
He also criticised Hungary’s state-backed price monitoring system, arguing that retailers can use competitors’ listed prices to pressure suppliers into offering identical prices even when packaging, logistics and other supply costs differ.
