Geography Narrowed and Export Volumes Decreased for Moldovan Grapes in 2020

According to data from the National Agency for Food Safety (ANSA), as of mid-December this year, slightly more than 48,000 mt of table grapes were exported from Moldova to 22 countries. Due to the reduction in prices for the main export grape variety Moldova, this indicator will not change significantly by the end of 2020. In 2019, local exporters sent almost 79,000 mt of grapes to 29 countries.

Comparing this year to last year’s figures, the export volumes of Moldovan grapes have decreased in virtually all countries. There was a significant reduction in supplies to Belarus (from 5,400 mt to 1,790 mt ), Iraq (from 2,110 mt to 286 mt ), Romania (from 18,650 mt to 10,720 mt ), and Ukraine (from 7,900 mt to 4,200 mt ). The volume of exports increased only to Poland from 1,580 mt to 1,700 mt.

Members of the Moldovan Table Grape Producers Association note there are still a lot of products in the refrigerated warehouses of vineyards in the thousands of tons. These are mostly the highest quality grapes that they intended to sell in December at a high price. However, from the middle of this month, the price of even high-quality grapes has not significantly increased. Taking this into account, the association’s experts forecast for price dynamics in the first half of January 2021 is not optimistic.

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Russia to Extend Preferential Trade Regime with Moldova, Says Dodon

 Starting from July 1, Moldovan exports of fruits, vegetables, preserved food and wine products to Russia will be exempt from customs duties, according to the republic’s President Igor Dodon. Russian authorities have agreed to extend duty-free treatment for Moldovan exporters, as well as to provide additional privileges for transport companies, the republic’s President Igor Dodon said following a meeting with Deputy Chief of Staff of the Russian President’s Executive Office, Special Presidential Representative for the Development of Trade and Economic Relations with Moldova Dmitry Kozak in Moscow on Thursday.

“Russia agreed to extend preferences on duty-free supplies of Moldovan goods, which means that starting July 1 of this year Moldovan fruits, vegetables, preserved food and wine products will be supplied to the Russian market free of customs duties, which will enable Moldovan producers to save at least 20-25 mln euro per year,” Dodon wrote on his Facebook page.

Russia will also consider the possibility of providing assistance in the form of diesel fuel to agriculture producers affected by the drought this year, he added.

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More Moldovan Fruit and Veg Exporters Will be Allowed to Ship to Russia in 2020

In 2020, the number of fruit and vegetable companies allowed to export to the Russian market will increase from 130 to 350. Also, more goods will be exported to the Russian market without customs duties.

These are the results of the visit to Moscow of Agriculture Minister Ion Perju, who is also the co-chair of the Moldovan-Russian Intergovernmental Commission for Trade-Economic Cooperation.

These results were not reported by the Ministry of Agriculture, but by the head of state, Igor Dodon.

“Ion Perju informed me of the results of his recent visit to Moscow, during which he held a meeting with his Russian counterpart, the co-chairman of the Moldovan-Russian Commission, Dmitry Patrusev,” said Igor Dodon on his Facebook page.

Another result of the visit is the increase in the number of transport authorizations that Russia will grant to carriers from the Republic of Moldova, which is being set at 16,000.

Ion Perju informed the head of state that he asked the officials of the Russian Federal Service for Veterinary and Phytosanitary Surveillance to inspect an additional 33 wineries and four canning companies in order to grant them access to the Russian market.

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Agreement for Duty-Free Supply of Moldovan Fruits to Russia Extended to 2020

The Prime Minister of the Republic of Moldova, Ion Kiku, announced the extension in 2020 of the duty-free regime for the export of five categories of agro-food products, including fruits and berries, from Moldova to Russia, which has been in force since the beginning of this year. The corresponding agreement was reached during a recent visit of the head of the Moldovan Cabinet of Ministers to Russia and negotiations with a Russian counterpart.

Also, the parties agreed on the expansion of the list of Moldovan agricultural producers and traders authorized to supply fruit and berry products to Russia. At the moment, only Moldovan enterprises that are included in a special list of suppliers authorized by the Rosselkhoznadzor are entitled to export agricultural products to the Russian market. Currently, this list includes a little over 150 enterprises, while no more than a third of them are active exporters of fruits and vegetables.

In the summer of this year, in response to a request from the Rosselkhoznadzor, the leadership of the National Food Safety Agency (ANSA) prepared and sent to the Russian office an additional list of potential fruit exporters that included 58 enterprises with plantations, cooling facilities, and sorting and packaging lines. To date, the list has not yet been approved by the Russian side.

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Russia Extended the Benefits on the Import of Vegetables and Fruit from Moldova

The Russian government extended the preferential regime for the supply of fruits and vegetables from Moldova until the end of 2019. The corresponding resolution is published in on the website of the Russian government.

The zero rate for customs duty will apply to the following goods: vegetables and some edible roots and tubers; fresh apples, pears, quince, apricots, cherries, peaches (including nectarines), plums and thorns; vegetables cooked or canned, without the addition of vinegar or acetic acid, unfrozen, except for the products of HS code 2006; grape natural wines, including fortified, grape must, except as specified in HS code 2009.

There are instructions for the Ministry of Economical Developmet, the Ministry of External Affairs and the Ministry of Agriculture of the Russian Federation to make, if necessary, until 20 September the proposal to change the term of application of the zero rate. Monthly monitoring of import of products will be carried out by the Federal customs service.

It is noted that due to the preferential regime, the volume of deliveries to Russia for four commodity groups in January – May 2019 increased significantly compared to the same period in 2018. The import of vegetables increased from 360 MT to almost 2,370 MT, or 6.6 times more. The import of apples increased from 100,000 MT to almost 167,000 MT, or by 67%. The import of canned products grew from 1,275 MT to almost 1,940 MT during the reported period.

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Russia Abolishes Import Duties on Fruit and Vegetable Imports from Moldova

The Russian government has passed a decree on the abolition of duties on imports of Moldovan fruit and wine products in 2019, said the President of the Republic, Igor Dodon.

We are talking about vegetables, fruits (apples, cherries, plums, nectarines), canned food, grapes, wines and brandies.

The removal of duties has been possible thanks to the agreements reached earlier with the President of the Russian Federation, Vladimir Putin.

This resolution, according to Dodon, will undoubtedly contribute to a significant increase in the export of Moldovan goods to the Russian market, the creation of jobs, and an increase in revenues.

“I express my gratitude to Vladimir Vladimirovich for the support given to the Moldovan people,” said the Moldovan President on his Facebook page.

The removal of duties is especially important for Moldovan producers of apples and grapes. In 2018, due to an excessive harvest, they had to deal with a shortage of markets.

Earlier it had been reported that the Russian Federation was going to abolish customs duties on Moldovan apples, grapes, vegetables, canned goods and wines until July 1, 2019.

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