Ukrainian apple exporters have by now gotten used to overcoming great challenges, especially in terms of logistics, says Volodymyr Gurzhiy of Ukrainian apple exporter USPA Fruit: "The season that has already finished was difficult, as expected, but many things of which were considered as problems in the past are now common for Ukrainian farmers and exporters. For example, if I was asked in 2021 whether a company could withstand challenges like funding being cut, new logistical challenges would arise due to the complex situation in the Red Sea with corresponding uncertain transit times, a blocked border with Poland, and all of this during a full-blown war, I would never have believed that it was possible. However, we succeeded, and we continue to work actively in dozens of markets and see a good perspective for the next season, despite the fears of market players about the quantity and quality of the harvest in the new season."
As the good quality apples were limited in terms of volumes, prices did increase by the end of the season, Gurzhiy states. "Apples of export varieties and corresponding quality ran out earlier than average during the previous seasons, and therefore prices were high at the end. This will definitely lead to high prices for apples at the beginning of the new season as well, especially on the Royal Gala variety. Ukrainian exporters will start with red clones of Gala, such as Gala Shniko Red, as it is an earlier variety."
The movement of Ukrainian apples is increasing, both compared to the previous season as well as compared to the first half of the current season, Gurzhiy explains: "From July 2023 to June 2024, Ukraine exported about 47,000 tons of apples, exceeding the final figure of the 2022/23 season by 11,000 tons. In the second half of 2023, 19,000 tons of apples were sold abroad, and in the first half of 2024 almost 28,000 tons were exported. As in the previous season, more products were exported in the second half of this season, during January-March 2024."
Despite the good image USPA has built around itself, it's been very difficult to send apples to markets in Southeast Asia, Gurzhiy says. "We have earned a very positive image and developed good sales channels in Southeast Asia. However, due to the attacks on ships in the Red Sea and as a result of logistical problems, all the containers we sent to that direction arrived with a significant delay last season, which caused certain problems for all members of the supply chain. For example, there was one specific container that travelled from late November to March. Of course, under such conditions, relatively nearby destinations, such as the Arab Gulf countries, had the preference, and our apples were liked on the markets of Central Asia, and therefore the volume of supplies to these countries grew."
"To end on a very positive note, several shipping lines have announced their plans to carry out container transportation from the ports of Odesa. This should have a positive impact on solving logistical issues in the new season, but I would rely more on the numbers once they come in and not rush to evaluate this matter," Gurzhiy concludes.
For more information:
Volodymyr Gurzhiy
USPA Fruit LLC
Cell / WhatsApp / Viber: +380 50 925 57 32
Email: [email protected]
www.uspafood.com