Information for fruit and vegetables business in CIS
Ukraine: onion prices decrease again
According to Fruit-Inform, onion prices have again decreased in Ukraine this week. In that way, farmers try to stimulate sales, although no special results were reported. At the same time, harvesting campaign is rather active in many farms now, and producers do not know what to do with grown onions: to sell them at current low prices, or store in the hope of higher prices in winter.
The market specialists connect a decrease in prices with current oversupply of onions in the market. The market consumption traditionally falls in the second half of summer, as households prefer to consume non-commercially grown onions. At the same time, many farmers have already realized that a part of harvested onions is not suitable for long-term storage and should be sold as soon as possible. Most often such a situation was faced by farms that had to save on planted material.
In such a way, prices for Ukrainian onions are rarely higher than UAH 1.20/kg (EUR 0.12/kg), while their minimum level has fallen to UAH 0.80/kg (EUR 0.08/kg). For comparison, last year prices varied between UAH 1.60-2.00/kg (EUR 0.16-0.20/kg), although in the previous season prices started decreasing since the mid-September and did not grow until the end of the season.
The problem cannot be solved even by exports. Fruit-Inform price monitoring shows that onion prices in Russia are 20-25% lower year-on-year: RUB 4-6/kg (EUR 0.10-0.15/kg). Onion prices in Poland are 5-10% higher, but the internal level of prices (EUR 0.10-0.14/kg) and better quality of Polish onions also does not favor Ukrainian exports to Poland.
We would remind you that more detailed information about Russian onion price, production and import prospects will be presented at the 5th International Conference "Fruit & Vegetable Business of Russia – 2012" that will be held in conjunction with World Food Moscow, September 18, 2012. Special attention will be given to the impact of Russia's accession to the WTO on the foreign trade in fruits and vegetables.
To join the conference participants, you should fill out an application form available here.
Would you have any questions regarding the conference, please contact International Relations Department of Fruit-Inform:
Ievgen Kuzin
phone: +380 (562) 321595, ext. - 341
cell: +380 96 5836323
email: [email protected]