August 1 2007, 12:24

Decreased competition for raw materials let Ukrainian canneries keep the prices on the past year level

"Agrooglyad: Vegetables and Fruits" weekly has already informed that the processors show dramatically declined demand for cucumbers and tomatoes for holocarpous canning this season because of the large stocks accumulated since the previous year, as well as because of lack of operational assets on the enterprises. That's why the enterprises are fully satisfied with the supplied volumes of raw materials if they actively purchase fruits and vegetables this season. The competition is low; thanks to it many enterprises managed to purchase cucumber for the prices equal to 2006 level this season.

At the same time, they experience some problems purchasing quality tomato. Both the quality and the supplied volumes of tomato are far from being desired this year. That's why many plants in Polissya and forest-steppe zone have to pay higher price for tomato this year.

According to the forecasts done by the analysts of "Agrooglyad: Vegetables and Fruits", the prices for canned vegetables will mostly occupy the same price level as a year ago. The leading producers - owners of the known trademarks will probably be able to increase the prices 5-10%. At the same time, there will be enough producers in the lower price segment, who are likely to sell products for the production cost and even lower, because the supply of the canned vegetables will further exceed the demand on market.