Despite the expectations of Ukrainian producers, there was no surge in trading activity on the apple market in Ukraine, which is traditional for the pre-New Year period, EastFruit project analysts report. As the growers say, selling prices for apples started declining rapidly this week.
Ukrainian growers are now ready to ship apples at 6-12 UAH/kg ($0.23-0.34/kg), which is on average 19% cheaper than at the end of the last week. The main reason for the price reduction in the segment was a significant increase in apple supply on the market. Most producers tend to quickly sell apples so as not to spend money on storage, which promises to be record-breaking expensive this season.
Wholesale companies and retail chains in Ukraine also note a weakening in demand for apples, especially in the last two weeks. Market participants explain the decrease in buyers’ activity with a huge supply of low-quality apples, which growers seek to sell in the first place and agree to reduce the price for.
It should be added that current apple prices in Ukraine are on average 41% higher than last year, due to a decrease in apple production not only in Ukraine but also in the EU countries. As the producers themselves note, they hope to intensify demand in the segment in the second half of the season, when the supply of quality apples will drop to a minimum.
Source: EastFruit