When Luis Velasco Alonso took over his family's farm in Bobadilla del Campo in 1993, he inherited land and a way of life. Now, after 33 years with 290 hectares under his care, Velasco says the risks of farming in Spain have never been higher, while the rewards keep shrinking.
Velasco, 58, manages the operation with his brother Pablo. The farm spans 290 hectares, of which 260 are family-owned and 30 are leased, all within the small Valladolid municipality of just 279 residents. Its land is carefully diversified: 210 hectares grow cereals, legumes and rapeseed, on both dryland and irrigated fields. Another 60 hectares are used for intensive crops such as sugar beet, potatoes and sweetcorn, while nearly 20 hectares are planted with Verdejo vines under the Rueda Denomination of Origin. The family once raised Castellana sheep but abandoned livestock after persistently low lamb prices produced poor returns. Other Spanish producers have made similar decisions, saying low prices left them selling below cost.
This mix spans arable crops, intensive irrigated production and vines, exposing the business to different market conditions and regulatory requirements. The Rueda denomination sets rules for its production area, grape varieties and labeling, placing the Verdejo vineyards within a regulated wine sector.
Profit Squeezed by Costs
Velasco describes this year's cereal harvest as average, with barley yields ranging from 2,000 to 4,500 kilos per hectare, depending on soil and irrigation. But the real problem, he says, is the price, not the yield. Fertilizers, diesel, crop protection products and machinery have all become more expensive, while the value of many crops remains flat. “We can't be the ones who risk the most and earn the least,” Velasco says. Some crops now offer little or even negative profitability. Gross output depends on yields and sale prices, as well as costs for fertilizer, fuel and crop protection. Drying, machinery and labor add to the bill. A larger harvest does not necessarily mean higher income if prices fall or costs rise.
Spain's food-chain rules require written contracts that set out the price and conditions before delivery, and prohibit buying agricultural products below the producer's documented production cost. Established by Law 12/2013 and substantially amended by Law 16/2021, the structure applies across the chain. The Agencia de Información y Control Alimentarios (AICA) investigates unfair trading practices and can impose sanctions. The law establishes statutory protection, but it does not guarantee an income floor for each farm or crop campaign. Margins still depend on production costs, yields and the prices achieved.
Red Tape and Market Power
For Velasco, the solution starts with cutting bureaucracy. He calls for fewer administrative hurdles and a review of restrictions on fertilizers and crop protection products. He also wants more promotion of Spanish-grown food and greater cooperation among farmers, who could market products together, avoid duplicated machinery investments and strengthen their bargaining position with buyers. Sharing services and information on new technologies, he argues, could make farms more viable and competitive.
Administrative requirements are also part of the broader policy structure governing farms. The European Union's Common Agricultural Policy combines direct income support with rural-development measures and environmental requirements, backed by farm-level controls and parcel identification. Rules on fertilizers and plant-protection products address environmental, water-quality and pesticide risks. They can govern authorized substances, application methods and recordkeeping, as well as nutrient planning. These obligations may complicate farm operations, while their stated purpose is to reduce risks to human health and ecosystems.
Velasco also advocates recognizing agriculture as a strategic sector and establishing a strong, independent farmers' union funded by producers themselves. These are personal proposals, not official policy, but they reflect growing frustration among Spain's agricultural community. Cooperation can bring practical gains through shared services and machinery. Collective marketing may also strengthen farmers' position in negotiations with buyers.
Future Uncertain, But Not Hopeless
Despite the challenges, Velasco does not expect his farm to close immediately. He and his brother plan to continue for another eight years before retiring, and one of his sons, an industrial engineer, has shown interest in taking over. Still, the family's future in farming depends on restoring profitability. The European Union's farm-structure statistics track changes in farm size, land use, labor and specialization, offering a wider view of pressures on agricultural businesses. Those figures cannot determine the profitability of one operation, which depends on its specific prices, yields, costs, financing and labor.
He remains cautiously optimistic, insisting that Spain must protect its own food production and rural life. In his view, the survival of farms like his is a matter of national interest as well as a personal one. Information from EL ESPAÑOL de Castilla y León, Velasco's story reflects the pressures facing Spanish farmers today: rising costs and stagnant prices leave those who work the land with too small a share of the rewards.
