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December 17 2004, 13:34 Agrarian Marketing Project

Shortening of apple supplies from Poland may lead to price growth on Ukrainian market

The Market Information Specialists inform that an unstable political situation in Ukraine observed during the recent weeks resulted in shortening of both legal and contraband apple supplies from neighboring Poland, which is one of the greatest suppliers of this commodity in Europe. Traditionally apples were imported form Poland for sale on all the territory of Ukraine. This situation permitted Ukrainian producers to enlarge sales, but it has not resulted yet in the significant price growth on the internal market. The price growth trend was traced only this week.

To the opinion of market players, in the nearest future the price on marketable apple may increase significantly on Ukrainian market, because inner apple reserves are consumed faster than expected. The demand on apples is also increasing due to relatively high prices on bananas and citrus fruits, which in its turn is caused by some supply breaking during the political crisis.

The most obvious possibility for a significant price growth for apples is observed in the eastern regions of Ukraine, to where many producers and wholesalers from the western oblasts (which are characterized by about 55% of total production and 95% of total supplies) are afraid to ship freights at the present moment.

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