Belarus main supplier kiwis to Russia

Russian import figures are showing a downward trend. In the first eight months of this year, the import of food went down by 29.1 percent. Due to longer transport times, the prices for imported products went up. Brazil is showing an interest in the Russian market. The countries are negotiating the possibilities. Tunisia is also interested. The Turkish export flourishes thanks to the boycott, as does the Belarusian export. The country is now the most important supplier of kiwis and other products. Moldavian companies were removed from the boycott list as well, which means these companies are now able to export. And Patriarch Kirill, leader of the Russian Orthodox Church, doesn't understand the fuss about the boycott. The leader says Russia has enough potential to be self-sufficient.

The import flow of fruit and vegetables to Russia is expected to decrease soon, but prices for the products will go up. The origin countries have shifted significantly, while Europe was the main supplier in the past, South Africa, Latin America, Turkey, Egypt and China are now at the top. Due to this change in trade flows, retailers now have to invest in storage facilities in the major port cities, where products enter the country. From these centres, the products are then distributed further. This greatly increases the delivery time of the products, from two weeks to a month. This in turn has consequences for the price, like the influence of the exchange rate. Russia does not have sufficient high-quality storage facilities to be able to create a winter stockpile of the domestic harvest.

In the first eight months of this year, the import went down by 39 percent compared to 2014. The import amounted to 103.9 billion dollars, a year before that was still 170.3 billion dollars. One cause is the low oil price, which is giving the Russian economy a hard time. The import of food went down by 29.1 percent, also due to the boycott.

According to the head of the Russian phytosanitary service, Alexey Alekseyenko, Brazil is prepared to increase the export to Russia. The two nations will discuss these plans at a number of summit meetings. Brazil reportedly wants to ship meat and fruit to Russia in particular.

The Russian phytosanitary service has further lifted the boycott of Moldovan companies. Another 46 companies got permission on September 21 to export top fruit and stonefruit. The products will still be subjugated to a number of inspections before being allowed to be imported.

The boycott turns out positively for Turkish export, Arif Guney of a Turkish industry association for exporters told media. "The demand for fruit and vegetables is up. We have started preparations for winter. We're expecting higher demand from Russia for the full range, from apples to citrus." The political situation in Russia is negative for the exporters, however. Fluctuating exchange rates are causing losses at a number of exporters, who suspended export to Russia. According to the industry association, the Russian consumer has now gotten used to the economic downturn, and consumption is on the rise again. Russia was said to take 60 percent of the export, but Arif expects this market share could go up to 70 percent.

Russia and Tunisia are showing an interest in each other. The countries want to increase trade, believing they can both benefit from this. For Russia, Tunisia could be a gateway to other North African countries. Tunisia sees opportunities in the export of potatoes, fruit, and other products. Both countries are discussing the possibilities for cooperation.

Belarus more than doubled the export of fruit to Russia in a year's time. The country is now the main supplier of kiwis to the Russian market. Although the fruit isn't grown in the Eastern European country, the export of kiwis went up by 151%, the general supply in Russia was down by 40%. Belarus also became a significantly bigger player in other fruit, the apple export went up by 96%, and citrus by 60%. Despite the remarkable growth figures, Russia says it has no complaints about Belarus. "We ask each other questions, but there are no complaints," the head of Russian customs said at a recent press conference. If there are any questions, they are answered in a single phone call, according to customs.

Patriarch Kirill: Russia has colossal opportunities
Patriarch Kirill, head of the Russian Orthodox Church, thinks it's not that bad with the EU sanctions against Russia. The EU imposed an export ban to Russia last year, partly due to the annexation of Crimea. Because of those sanctions, Russia is unable to import large quantities of fruit and vegetables, and export is also impossible. A great deal of Dutch companies suffer from this, since there was a flourishing fruit and veg trade between Russia and the Netherlands.

The patriarch told media this week: "I don't really see the problem. When you see how rich our country is, with the colossal opportunities we have, one wonders why we're talking about the import ban. We can be self-sufficient in everything, except for tropical fruit." The church leader also emphasized: "Russia is an absolutely self-sufficient state."

According to Fruit-Inform, Ukraine will soon begin to import white cabbage from Russia. According to the organization, the situation in Eastern Europe on the white cabbage market is unusual for September. Prices in Poland and Ukraine are reaching record highs, while in Russia prices have halved. Polish and Ukrainian growers are asking 26 to 27 cents per kilo, in Russia the price is 13 cents. The dry weather in the past weeks is causing the high prices in Poland and Ukraine.

The Russian parliament has passed a ban on GMO crops, Deputy Prime Minister Dvorkovich said last week. "Regarding genetically manipulated crops, we decided to turn away from those for the production of food, the deputy prime minister said. The decision only applies to the production of food, use of GMO crops in other sectors, such as for the development of medication, will still be allowed.

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