Within a year the price of the “borsch set” in Ukraine has increased threefold
The prices for the “borsch set” have increased threefold by November 1, 2013 as compared to the prices of the last year. Experts refer such abrupt increase to the harvest decrease due to poor weather conditions and reduction of the usage of the protective agents for plants. Meanwhile the “borsch set” price in Russia is three times lower than in Ukraine. As one of the reasons of the harvest decrease the experts name difficult financial situation of the farmers due to low prices for their goods during the two previous seasons. Namely because of this fact vegetable plantations were not duly cultivated.
By November of this year the prices of onions and potatoes have increased most of all – by 4.7 times and 3.2 times accordingly if compared to the same period in 2012. At the same time the price of the carrots has increased by 53.8 percent, the price of beets – by 50 percent and the price of the cabbage to the contrary has decreased by 16.7 percent.
In Russia the prices for the vegetables for the borsch set as of September 23, 2013 were lower than in Ukraine. The total price of the set consisting of beets, onions, cabbage and carrots in the wholesale prices was 30 percent lower in Russia than in Ukraine. Wholesale prices for potatoes in Ukraine were 22 percent higher than in Russia. The biggest difference in prices was observed for onions: in Ukraine it is on the average almost twice as expensive as in Russia. The difference in the prices for carrots is smaller: in Ukraine it is more expensive by only 5 percent. Prices for the beets and cabbage in Ukraine are 18-25 percent higher.
Experts remark that the fluctuation of the volumes of the production of vegetables and potatoes in Russia is less noticeable than in Ukraine because of the big volume of production at large industrial enterprises. In Russia production of the vegetables and potatoes is concentrated in big agricultural enterprises. In Ukraine a considerable part of the vegetables and potatoes is still grown by the private households. The family farm households, which dynamically react to the changes of the market conjuncture, mostly engage in the industrial production of vegetables. Very often they refuse from the unprofitable directions in favor of the more profitable ones.