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Lower beet production forces Ukraine to import from other markets
"The need to start importing is because of decreased production after a beet growers suffered a bad season financial last year. Production areas decreased drastically this season, with the largest reduction we have seen in the last 5 years," explained Tatiana Getman from Info-Shuvar.
Imports from Poland commenced last week, and the first batches have now made their way to wholesalers and supermarket shelves this week, across the whole of Ukraine.
"Rumors about the possible start of beet imports began in the middle of February, when prices for products confidently went up. Just last week, the cost of production had reached its limit, giving importers the opportunity to make a profit on vegetables from other countries. Strong demand from Ukraine actually caused the beet prices to rise in Poland, while they actually dropped in Ukraine," shared Tatiana.
Up until this week, beet prices had increased by 60% in the previous two weeks. As of 5 March, Ukrainian beets were being sold at Shuvar market between 0,21-0,24. In comparison, Polish beets were selling the domestic market for 0,24-0,28 EUR / kg.
"Such significant changes in the prices of beets in Ukraine during the storage season are uncommon, they are considered the most stable in terms of prices in the "borsch collection" position. In the last 10 years, this situation was observed only in the season 2010/2011 and 2015/2016. This year, according to market operators, the price increase is due to a decrease in beet production due to unsatisfactory financial results of producers in the previous season. Even in the "shortage" seasons we imported quite a bit of beet - no more than 1.3 thousand tons. Deliveries mainly originated from Poland and Belarus."
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