July 7 2006, 15:36

Bell pepper acreage increased 20% this year

According to information provided by market players, the supply of national bell pepper is growing and making prices decrease. The producers from southern rayons of Odesa oblast report about only greenhouse pepper supplied now. Pepper from open ground will enter market in 2-3 weeks. The producers say they are satisfied with the condition of plantings; they hope for good yield. On the background of high average prices for pepper observed in 2005, according to the data of "Agrooglyad: Vegetables and Fruits" journal, the motivation of the producers to grow this crop has extremely grown. The acreage of bell pepper increased 15-20% in 2006; production of this commodity grew 18-22%. However, almost 29% of farmers will grow this crop for the first time. This fact can negatively influence an average yield which tended to grow in previous years.

The price situation fully corresponds to the situation observed at the same period of time past year. The prices of KOPANI wholesale market, Kherson oblast, are $0.58-0.68/kg ($ 0.54-0.64/kg in 2005). The same situation is for retail prices.

Market players are reasonably waiting for further price decrease. The analysts point out that the demand for bell pepper can grow proportionally to the production of this commodity, despite of the forecasted significant production growth. So the prices for this commodity will be still kept on the level observed a year ago.