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Oleg Pendzyn, executive director of the Economic Discussion Club, explains

Why Ukrainian's greenhouse vegetables are more expensive than imported ones

Currently, there is a relatively small market for greenhouse vegetables in Ukraine, which can be more expensive than imported counterparts, in particular, due to problems with electricity. But Ukrainian greenhouse vegetables have always been 20-30% more expensive than imported ones, even when there were no issues with the electricity supply.

According to Oleg Pendzyn, executive director of the Economic Discussion Club, a good example of this is Türkiye, a country from which Ukraine imports a lot. "Competing with Turkish manufacturers is already difficult, as there is a different climate and the average daily temperatures are established a little earlier in Türkiye, which allows for growing vegetables in open ground. Therefore, the direct cost of producing vegetables is cheaper in Türkiye."

Oleg also noted that not every farm that grows greenhouse vegetables could afford to constantly provide its farm with electricity produced by a generator.

"We calculated that the approximate cost of electricity produced from a generator is 4.5 to 5 times more expensive than what a farmer can receive from the grid. Therefore, the cost price is increasing sharply, and it makes competition extremely difficult."

However, Oleg also predicts that after Ukrainian cucumbers and tomatoes from the open ground start arriving on the market, the price of Ukrainian vegetables should also fall.


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