Information for fruit and vegetables business in CIS
Early potato import tax has been decreased significantly since January 1st in Ukraine
According to the information provided by "Agrooglyad: Vegetables and Fruits" weekly of the Ukrainian produce business, the import tax on early potato has been decreased significantly (from EUR 0.2/kg down to 20% of the declared value) from the 1st of January through the 15th of May. If we take into account the high prices on early potato observed on market during this period, this event will not influence the market much. However there are two points of interest.
First, it is difficult to say how the custom will define potato "age". It is unknown whether they have the regulations enumerating on the criteria on which basis the potato can be accurately defined as early. If there are no such regulations, the supplies of ordinary potato like "early" from Poland and other neighboring countries will be quite possible, as potato prices are significantly lower in these countries.
The other interesting point is the possibility to supply real early potato from the southern countries, where potato production goes on all year round. If potato is shipped by water transport in large volumes, the cost can turn out to be moderate. Still, the price on this early potato will certainly be higher comparing to the ordinary potato. However, if such supplies are implemented, the price on ordinary potato can stop growing, as a part of top class consumers can choose for early potato.