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28 April 2017

Ukrainian and Global Market of Berries


In Ukraine cultivation of berries has always been one of the traditional gardening segments. The range of berries produced in our country comprises wild strawberry and strawberry, raspberry,    blueberry, currant, gooseberry and other crops. It should be pointed out that the real situation differs from the official statistical data, since the range of the cultivated berries is much wider and the output is more expansive.

In the recent years Ukraine has steadily produced 130 to 135 thousand tons of berries. The berries go for about 6% in the general structure of fruit and berry crops output. The wild strawberry and strawberry remain the leading crops, practically constituting a half of the entire harvest. Although the industrial companies produce merely 10 to 15% berries in Ukraine, the commodity range thereof almost completely follows the overall structure.

The areas covered by the berry crops in Ukraine remain stable (about 20 thousand hectares). They are mainly employed for planting strawberry, raspberry and currant. The average yield of berries is approximately 60 centners per hectare.  Traditionally, 5 oblasts of Ukraine plant most of berries. These are Vinnitsa, Dnipropetrovsk, Donetsk, Zhytomyr and Kyiv oblasts.

Exporting and importing berry crops in Ukraine has certain peculiarities. The fresh berries sales volume is insignificant. Much more berries are sold frozen. 2016 showed the record export volume both of the fresh and frozen berries over the recent period. Ukraine exported almost 6 thousand tons of fresh berries for USD 8.8 million. For export of frozen berries to the foreign markets our exports have gained over USD 40 million.

Strawberry remains a dominating berry crop.  The production volume thereof constitutes about 8 mln. tones per year. The harvests of raspberry, currant, blueberry and cranberry exceed 500 thousand tones. Strawberry is cultivated in more than 70 countries, raspberry – in more than 40 countries, currant – in more than 30 countries, while the countries of the North America and the European Union have the largest areas of blueberry. Ukraine is one of the major global manufacturers of raspberry and currant.

Following increased demand for berry crops, the global market faces increase in the international trade volume. The countries of the North America and the EU are the key suppliers at the same time the importers of fresh berries to the global market. The same situation exists in the filed of trading the frozen berries. It is explained by the fact the price of berries is rather high. Therefore, supply thereof from abroad may be afforded only by the countries having many affluent consumers. Strawberry remains the most popular berry in terms of global trading.

Cultivation of berries becomes increasingly promising, since the global market faces the growing demand for such products, and, respectively, the manufacturers' and exporters' revenues keep growing as well. The global market's capacity in the future will be affected not only by the countries traditionally consuming berries from Europe and the North America, but also by the rapidly developing Asian markets, namely China.

Ukraine's berry crops market has not been formed completely so far, although reflecting the global trends in many aspects. The absolute bulk of the harvest is consumed by households or sold by the companies right out of the field or at the food market places. Following loss of Russian market made the domestic importers to reorient towards European consumers.
However, there exist factors hindering development of the domestic market and, respectively, the export potential. Due to lack of cooperation many small manufacturers are unable to offer sufficient volumes of products. Furthermore, the market faces acute deficit of the processing (freezing) facilities, allowing the manufacturers to expand the product range and extend the term of playing on the market.
 
Source: www.ukrsadprom.org


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