Greece unofficially asked Russia this weekend to lift the ban on certain Greek products. Russia is looking into the possibilities, for instance import of Greek fruit as a raw material for processed products. Last month, Putin announced a desire to cooperate with companies in Hungary. Cyprus also wants to make an effort to restore ties. In Russia, the boycott is under discussion. After the competition authority's request to temporarily lower import duties, five politicians in the Duma proposed to lift the sanctions. The politicians were given a warning by their party. Russian supermarkets have frozen the prices of twenty products, to limit the effects of the ban. Brazil could turn the tide of the increasing prices if Russia would increase the import from this country, Vicente Barrientos of the Ibero-American Institute thinks.
Russia considers partial lifting of boycott
This weekend, the Greek government asked Russia to partially lift the boycott on Greek products. The Greeks asked Russia to lift the sanctions on peaches, strawberries, citrus and kiwi. The Kremlin responded that Russia, as a member of the World Trade Organization (WTO), can't just lift the ban on a single EU member state. On the other hand, Russia can allow partial import, through joint ventures and import of products for the processing industry. Last month president Putin announced during a visit to Hungary, that his country is willing to cooperate with Hungary, despite the sanctions.
Cyprus wants to restore ties with Russia
The Cypriot authorities want to restore the ties between Europe and Russia, Nikos Christodoulides, representative of Cyprus, told Russian media in an interview. He hopes to "quickly restore the ties in an active and mutually beneficial manner." The Cypriot economy is largely dependent on Russia. Due to the boycott, Cyprus lost nearly 54% of the export value to Russia. In addition, Russia loaned the island 2.5 billion Euro in 2011. Recently, Russia lowered the interest on the loan by 2%.
Russians challenge boycott
Of the five Russian politicians who proposed ending the boycott, three were called to task by their own party. The politicians are accused of having violated the party discipline. The two politicians who weren't reprimanded, are no longer a member of any political party. This isn't the first time the boycott has been discussed in the Duma. The Russian Antimonopoly Service earlier proposed to lower the import rates on potatoes, tomatoes, onions, cucumbers, cabbage, bananas, citrus, grapes and apples until the next harvest.
Russian supermarkets freeze prices
A number of large supermarket chains, including Magnit, X5, Auchan, Lenta and Metro, have frozen the prices of twenty products. This way, the supermarkets want to prevent the inflation from hitting the poorer part of the population hard. The freeze will be in effect for the next two months. Although the freeze puts the supermarkets' margins under pressure, the supermarkets benefit from the measures. This way they prevent the government from taking steps, analysts are saying.
Moldovan apple price lower
The prices for apples on the Moldovan wholesale market Chisinau are between 12 and 39 cents per kilo. That's 15-20% lower than last year. According to Fruit-Inform, the prices were between 15 and 48 cents per kilo last year. The traders are linking the lower prices to decreased export.
Azerbaijan self-sufficient and exporter
Azerbaijan is 76-98% self-sufficient for most products. In addition, the country export for 291 million dollars last year, 16.1% more than in 2013. This year, the country wants to double its export to Russia, and increase the number of products. According to Azerbaijan, the country has a large surplus, which means a lot of fruit and vegetables can be exported to Russia.
Rostov takes second place
The regional government of Rostov thinks it can take second place when it comes to production volumes of fruit and vegetables. Undisputed leader is the Krasnodar region. Last year, Rostov reportedly had a potato harvest of 397.2 million tonnes, a 10% increase. The open field vegetable cultivation went up by 17.5%, and the volume of greenhouse vegetables increased by 40.9%. According to the Rostov government, the volume will increase further this year.
Ibero-American Institute: increase Brazilian produce could stabilize prices
According to the director of the Ibero-American Institute, Vicente Barrientos, an increase in the import of Brazilian produce could stabilize the prices on the Russian fresh produce market. More Brazilian import would increase competition on the Russian market, lowering the prices.
Lithuanian supermarkets refuse local produce
The two largest supermarket chains in Lithuania, Rimi and Maxima, are refusing to stock shelves with local vegetables. According to the supermarkets, the products are too expensive. Domestic production is supplanted by cheaper import. Countries like Poland, which was hit hard by the boycott, are exporting the products to countries including Lithuania. Incidentally, the Rimi and Supernetto supermarkets were the first to include Lithuanian lettuce in their product range.