Moldova to Export Less Table Grapes Than Last Year

Between August and mid-October, Moldova exported just over 17,000 mt of table grapes from the 2022 harvest. This is about the same as what was exported in the same period last year. As expected, Romania is the first in the TOP countries-importers of Moldovan table grapes – almost 5,700 mt, Kazakhstan is quite unexpectedly the second – more than 4,000 mt, the third is Ukraine with about 2,000 mt. The Belarusian and Russian markets, which in previous years were at the top of the list of importers of grapes from Moldova, received 1,700 mt and 724 mt, respectively.

Representatives of associations note with regret that in the current marketing year the country is exporting a much smaller volume of table grapes than last season (about 68,000 mt). Although the harvest of table grapes in 2022 in Moldova will be higher than in 2021 – more than 100,000 mt against 85,000 mt, the quality of grapes from the 2022 harvest, despite the drought, is also better than last year.

The main problem is that due to the Russian embargo, limited demand for Moldova table grapes in autumn, and a significant increase in electricity tariffs, according to expert forecasts, only about 20,000-25,000 mt of grapes will be stored in the country’s fruit storage facilities for sale in November-January. Last year, about 40,000 mt were stored for export during this period.

Unfortunately, according to fruit market participants, due to uncertain commercial prospects and increased storage costs, a significant proportion of medium and even high-quality Moldova grapes from vineyards is sent directly to wineries. At the same time, the purchase prices for industrial table grapes fell to the minimum level – 2 MDL/kg ($0.10/kg).

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Despite Increased Quota Moldova Unlikely to Export More then 15-20,000 MT of Apples to EU

Experts from non-governmental organizations and traders from the Republic of Moldova agree that the statement by the Ministry of Agriculture and Food Industry MAIA on the possibility of exporting a record 50,000 mt of apples this season is “achievable, but unreasonably optimistic.”

According to east-fruit.com, the ministerial declaration was caused by two positive facts. Firstly, as has been repeatedly noted at all levels, the European Commission has doubled the quota for the export of Moldovan apples to the EU in the current marketing year – up to 80,000 mt. This should be considered an important incentive, primarily psychological. It can also be assumed that the EU authorities and the national governments of some countries also encourage European traders and retailers to cooperate with apple suppliers from Moldova. Secondly, this summer, Moldova exported approximately 2,000 mt of apples to Romania every month (while its total export to the European market from Moldova last year amounted to about 1,800 mt).

However, since the beginning of autumn, supplies of Moldovan apples to the European Union have dropped sharply. Even if we assume that Moldova will quickly pick up the “summer pace” of apple supplies to Romania in the second half of October and enter other European markets with small volumes, Moldovan traders may be able to export about 20,000 mt of apples by next summer. According to experts from farmers’ organizations, this will also be a very good result. Especially if we consider the high harvest of 2022 apples in many European countries, in particular, in Poland, and a low apple harvest in Moldova (according to an optimistic forecast – 480 000 mt, according to a pessimistic one – 380,000-400,000 mt).

Many horticultural enterprises gathered resources for timely and high-quality harvesting of apples in October, but, according to fruit market players, their storing is going rather slowly. And it is still unclear whether traders will accumulate the previously expected commodity volume of 100,000 mt of apples in fruit storages before the winter.

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Moldovan apple exports far behind compared to 2020

The Customs Service of the Republic of Moldova has stated that, in January-February 2021, about 28,000 mt of apples were exported from the country. In the same period last year, Moldovan apple export volumes were significantly higher, at almost 54,000 mt.

According to the local organizations of agricultural producers and exporters, in the first half of March 2021, the export of apples to the main markets (Russia, Belarus, Kazakhstan) has not yet intensified. But the prices started to rise – on average by 0.5-1.5 MDL/kg.

Based on the monitoring of EastFruit, by the beginning of this week, wholesale prices for apples of the Renet Simirenko and Idared varieties ranged from 8.5-11.5 MDL / kg ($0.48-0.65/kg), “Golden Delicious”, “Jonagold” and “Granny Smith”- 10.0-12.5 MDL ($0.57-0.71/kg).

How this situation will develop in April is not yet clear. Optimists believe that in April the Russian stocks of apples will finally run out. Instead of importing Polish and Ukrainian apples through risky channels, Russian traders will consider it a safer option to legally import Moldovan apples of comparable (or, in extreme cases, marginally inferior) quality at a slightly higher price.

Something similar happened last year, when in April supplies of apples from Moldova to Russia increased by 10 thousand mt compared to the previous month – to almost 39 thousand mt. Although in some of the past 5 years, March was the month with the highest export volumes for the Moldovan Apples.

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Kaufland creates Moldovan food brand

The international supermarket chain Kaufland has launched an ambitious project called “Vreau din Moldova” which translates to “I want Moldovan” in English and it is focused on supporting local producers in Moldova. This new product line will include Moldovan goods, which in the future may become especially popular with consumers.

The new brand will include both processed products and fresh goods such as dried fruits and nuts. For the latter, these products will come from southern Moldova, in particular the Gagauz region. It is there that the largest almond plantations are concentrated (approximately 1,000 ha), which is 70% of the total area of ​​almond plantations in the entire country. Additionally, the southern region produces walnuts and fruits such as plums as well as viticulture. Cooperation between farmers in the south tends to be more receptive compared to the central and northern regions of the country.

Moldovan almonds are currently exported to countries such as Romania, Iraq, and Azerbaijan. However, in the domestic market, Kaufland will be the first supermarket chain in which Moldovan almonds and products will be presented in a wide range and in large quantities.

Back in September, Kaufland-Moldova supermarkets started tasting and testing products in focus groups with consumers. The first contracts with Moldovan suppliers of nuts and dried fruits will be signed in February 2021, but only after the goods have passed quality certification (e.g., IFS, FSSC 22000) in Germany.

In 2020, the share of local products in Kaufland increased by 500 items totaling 3,700. Currently, the supermarket chain works with more than 100 Moldovan producers, one-third of which supply fresh vegetables and fruits. In the future, the bulk of these products will go through consolidators such as trading companies and agricultural cooperatives.

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