Information for fruit and vegetables business in CIS
Vegetable reserves are shortening in Ukraine causing the considerable price growth
The results of price monitoring for vegetables conducted in various regions of Ukraine confirm the significant price growth for the major vegetables harvested in 2004. Besides the bad weather conditions which hampered the vegetable supplies to the deficit rayons and provoked the panic price growth on some of the vegetable commodities, the price increase was also influenced by the consequent shortening of the commodity reserves.
For example, past week the retail prices on cabbage almost doubled and reached USD $ 0.56-0.75/kg in some oblasts of Ukraine. The wholesale price went up to USD $ 0.47/kg in Odesa oblast. The specialists inform that it is quite problematic to find cabbage sold by the agricultural producers on a favorable price, especially in the central and southern oblasts of Ukraine. The most affordable supplies of this commodity were done on USD $ 0.18-0.22/kg in the beginning of the previous week, but by the end of week the price has increased.
The situation with carrot is interesting - its reserves stored by Poltava oblast farmers are nearly over, but the farmers of Cherkasy oblast still store the sufficient amount of this commodity. The producers are trying to sell carrot as fast as possible, cause the further storage in the unadjusted storing chambers is sure to lead to the great losses. There is no any significant deficit of carrot supplies in the western regions of Ukraine. The volume of red beet supplies is even greater, and the price on this commodity is growing "for company" with the prices on the other vegetable commodities.
The onion reserves are contracting also, but they are still considerable. The supplies starting from 100 tons are offered on USD $ 0.18/kg and more in the main onion production regions.
We should note that the significant price decrease for greenhouse vegetables observed now in Ukraine may lead to some demand decrease on cabbage and carrot of 2004 harvest during the future weeks.