Information for fruit and vegetables business in CIS
Canneries anticipate problems with produce export
According to information provided by the representatives of processing enterprises in Poltava oblast, it will be problematic to sell canned cucumber in a new season. First of all, the reason is raw materials oversupply on the whole territory of Ukraine. Many canneries have not specialized on cucumber processing before; this season they process certain volumes of cucumber and quickly sell canned commodities in the country.
As a result, the prices reduced dramatically on inner market. The wholesale price in Kyiv reached the production cost of canned commodities at many enterprises.
The processing plants are afraid of the problems with canned commodities export, as the political situation has not fully stabilized yet in the country; in addition, the relations with Russia, one of the main consumers of Ukrainian canned produce, remain complicated.
The price decrease is expected in the period of active sales of the produced commodities. The management of some Poltava canneries is searching for alternative ways to get profit. They consider variants such as handling and packing of semi-processed corn and pineapple which are planned to be purchased in India, Vietnam and China.