EastFruit analysts drew attention to the threat of a sharp increase in greenhouse vegetable prices in the winter and spring of 2022. At the same time, the price level may be too high for most Ukrainian consumers who are already accustomed to eating fresh tomatoes, cucumbers and peppers all year round.
The prices of greenhouse vegetables are now starting to rise rapidly. Therefore, the price levels of greenhouse cucumbers, tomatoes and peppers may even hit record highs before the new year.
Among the main reasons for the sharp rise in prices, EastFruit experts pointed out that the prices of natural gas and other energy resources have risen sharply, which has led to an increase in the cost of heat and electricity generated by greenhouses. In addition, due to rising international transportation costs, the cost of imported greenhouse vegetables has also risen sharply.
The increase in the cost of material and technical resources (MTR) such as fertilizers and plant protection products (PPP) will certainly not help, nor will the increase in labor costs.
“It should be remembered that Ukraine has integrated into the European greenhouse vegetable market. Therefore, the difficulties encountered by Ukrainian producers are inherent to greenhouses in other countries. In view of the high price of natural gas, greenhouses in Germany, Poland, the United Kingdom, the Netherlands and other EU countries have been affected. Serious impact. Therefore, vegetable prices everywhere are rising. Even if you don’t consider the increase in transportation costs, imports from relatively warm countries such as Turkey, Morocco, Egypt, Uzbekistan, and Israel will also rise sharply," said the economist. Dre Jarmack explained. The United Nations Food and Agriculture Organization (FAO) Investment Center.
“The Ukrainian greenhouse complex may be forced to start a new production season later in 2022. The number of imported vegetables may also increase dramatically-after all, they will be very cheap in 2021. This means that greenhouses in relatively warm countries cannot be ruled out. Vegetables, this will only exacerbate the high price situation," said an FAO expert.
Turkey remains the main supplier of Ukrainian greenhouse vegetables, and Ukraine accounted for 86% of all imports in 7 months of 2021. Poland ranks second with 4%. Therefore, 90% of imported greenhouse vegetables are imported into Ukraine from these two countries. At the same time, Turkey increased its supply by 36%, while Poland decreased by 58%.
Read the full article on www.east-fruit.com.
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