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Weaknesses in production, demand for export and tourism increase vegetable prices by over 21%

2023-08-08 09:10:00, Aktualitet CNA

Weaknesses in production, demand for export and tourism increase vegetable

The prices of vegetables have seen an unusual increase in the last two months, even though the agricultural season is at its peak.

INSTAT reported that the group of vegetables and potatoes marked an annual price increase of over 21% in July, while in June the price increase was even higher with over 26%.

Traders claim that this increase is due to supply and demand factors at the same time. This year there was a decrease in the area cultivated with onions and potatoes in the area of ??Korça, which brought a lower offer in the market for these products, while the demand is increasing from tourism and exports.

The increase in the number of foreign visitors has increased the demand for local products from supermarkets and hotels, but at the same time there is an unusual demand for exports. Retailers say that the country's best products are being exported and that they are having a hard time finding supplies.

As demand pressures have increased this season, planted area is not expanding at the same rates. The high rate of population decline in rural areas is reducing the cultivation of small plots for market and self-consumption. On the other hand, land fragmentation, ownership problems and high production costs are hindering new investments in agriculture.

As a result, the prices of geese and onions throughout the year remained at over 100 Lek per kilogram, from 70 Lek last year as a result of the decline in production in the Korça Region.

The government last year directed farmers to plant wheat as a result of import problems created by the war in Ukraine, but while the market stabilized, farmers' stone remained in stock, while a gap was created in the market in the supply of greens.

Farmers are selling their produce from greenhouses and fields at higher prices this year. The wet and rainy spring has severely damaged the production in the Region, which has increased the demand for Albanian products, and therefore the prices.

Farmers announce that the prices of agricultural and livestock products will remain high due to the lack of labor in the countryside, which is reducing the areas planted and affecting production, while demand is increasing.

In the beginning, the war in Ukraine and now the climate impacts have been in favor of the season for Albanian farmers, but this positive progress cannot be an annual trend since this year fruit producers, especially vineyards and apples, have been massively damaged by the wet spring.

INSTAT reported that the export of greens in the first 6 months increased by 16%, but in quantity the expansion was 8%. In the third transition decade 2010-2020, exports in quantity were growing at double-digit rates.

While export data show growth, agricultural production remained flat in the first quarter of 2023 according to data from the Gross Domestic Product./Monitor





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