In Uzbekistan, the greenhouse business faces difficulties warned by East Fruit analysts three years ago. Wholesale prices for greenhouse tomatoes in the country are at a record high, rising for the fourth consecutive year. Tomato exports from Uzbekistan have decreased by 22%. Turkmenistan is rapidly increasing competition in the greenhouse crop market, displacing Uzbek producers. They gain access to cheap natural gas, attracting investments and posing a threat to Uzbek sales markets.
One of the reasons for the decline in exports is the ban on using natural gas in greenhouses, forcing a switch to coal and reducing efficiency. Economic challenges, foreign currency debts, and increased competition are also putting pressure on the industry.
Uzbekistan is losing its market share to Azerbaijan, Iran, Turkey, and Turkmenistan, which are successfully increasing their deliveries to Russia. Despite promises to restore the gas supply, many greenhouse operators have already incurred losses.
The question of the future of the greenhouse business remains open. Uzbekistan has experience and trade connections, but high gas prices and competition pose challenges. Prices for greenhouse vegetables in the country are likely to remain high, and cheaper Turkmen tomatoes may enter the Uzbek market.
It can also be assumed that some of Uzbekistan's greenhouse complexes will shift from year-round cultivation to seasonal cultivation during the warmer months to enhance the resilience of the greenhouse business.
Analysts predict a challenging future for this industry due to negative economic trends and competition from neighboring countries.
Source: east-fruit