Exports from and, above all, imports to, Russia and Ukraine are particularly important for some sectors of the German agricultural industry. With the Russians attacking Ukraine, the question arises as to how the political situation will be affected. We spoke to traders and importers from Germany.
IPD: Concern about situation in Ukraine
Import Promotion Desk expressed its concern about the current situation. "The IPD team is "greatly concerned" due to the current news from Ukraine. The IPD has been active in Ukraine since 2018, supporting producers of natural ingredients, fresh fruits & vegetables and sustainable wood products in their trade with the European market." Due to the still largely unclear situation, the IPD therefore asks for your understanding that it will not make any further statements. "We hope for the best and that there will be peace soon."
Anevo Trading: supply of goods from Ukraine available
Rural areas should remain untouched for the time being, as the attacks primarily focus on urban areas such as Kiev, Kharkiv, Lviv, as well as military bases, Anevo Trading CEO Anneliese Vollweiler tells us. Last year, the Erlangen-based company began purchasing goods from Ukraine in small quantities. According to Vollweiler's estimation, despite the current situation, there will continue to be goods from Ukraine coming in.
200,000-300,000 Ukrainians had already emigrated from Crimea and the Donbass to Poland since 2014, and Vollweiler expects that more will now join the former refugees. Until now, Anevo Trading also worked with Russia. "We have a second department for oils, in addition to fruits. We expect the shipment of sunflower oil from Russia on Monday, before the sanctions will come into effect."
Hannes Nagel: 'Inflation worries for white cabbage exports'
For northern German white cabbage producers in the internationally recognized growing region of Dithmarschen, Eastern European countries are an important export market, certainly during the second half of the season: February-March. "We notice that the Poland-Ukraine-Belarus-Russia route no longer works as it did before. We fear for a massive inflation. But we are crisis-proof and systemically protected. Things will always go on," Hannes Nagel, white cabbage exporter and managing director of the company of the same name, reported.
Paris Direkt Ltd: 'Wild mushroom imports at risk'
Münster-based Paris Direkt Ltd is heavily dependent on imports from Eastern Europe when it comes to wild mushrooms. "Corona was followed by heavy inflations, and now there is the Ukraine crisis. That means we have to keep adapting to the circumstances and keep reorienting ourselves. Mushroom imports from the East will certainly be challenging, especially since we don't know what sanctions will be taken by the German government by the start of the season," says Ramazan Gülnar, the company's managing director.
It will be especially tricky in late summer (August-September), Gülnar predicts. "During that period, there tends to be less product in the Balkan countries due to the heat, so we have to rely on Russia and the Eastern European wild mushroom countries. If that isn't on, Poland will be the only alternative, although its volumes are far from sufficient to cover the entire German demand. This means, we are already expecting wild mushroom prices to skyrocket."
Other voices from the industry
The Quedlinburg-based company Satimex (Saxony-Anhalt) also achieves annual sales of up to €4 million in Russia - equivalent to about 70% of its total sales. "As a medium-sized German seed company exporting vegetable and flower seeds, Russia is essential for our company," said Managing Director Eike Kampe in an interview with Stern. If Russia, for its part, is no longer allowed seed imports and business collapses, his company would be threatened with layoffs.
Metro AG, in turn, has temporarily closed 16 of its 26 companies and is primarily concerned about its 3,400 employees and their families, as reported by rp-online. Companies such as Henkel, Telekom and Lufthansa have also reacted accordingly.