Despite multibillion-dollar subsidies and embargoes, imports of fruits and vegetables to Russia continue to grow

Published 2022년 2월 16일

Tridge summary

Despite Russia's efforts to reduce reliance on foreign markets and increase domestic production of fruits and vegetables, imports of these goods have seen a consistent increase, growing by 3.4% in 2021 to reach $7.6 billion. This growth is part of a larger trend, with the annual average growth rate for imports over the past five years being 5.6%. This situation highlights the low effectiveness of the Russian government's subsidization efforts for its own production.

The article points out that the high prices Russian consumers pay for fruits and vegetables compared to neighboring countries, despite subsidies and currency devaluation, indicates significant inefficiencies in Russia's agricultural sector. The import of key vegetables like potatoes and watermelons has seen substantial increases, with Turkey and Iran emerging as the main suppliers. There has also been a rising demand for exotic fruits and vegetables, which Russia cannot produce due to climatic constraints. These trends have benefited exporting countries such as Egypt, China, Uzbekistan, South Africa, Belarus, Moldova, and Israel, with Georgia experiencing particular growth in its revenue from fruit and vegetable exports to Russia.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

According to EastFruit analysts, the effectiveness of multibillion-dollar injections into Russia's own production of vegetables and fruits, while almost completely restricting access to its market for suppliers from most leading producing countries, remains extremely low. Imports of fruits and vegetables to Russia continue to grow, despite the devaluation of the Russian currency and the ongoing stagnation of real incomes of the country's population! In 2021, Russia once again increased the import of fruits and vegetables. The growth of imports was 3.4%, and the volume of imports reached $7.6 billion. The average annual growth rate of imports to Russia over the past five years, when the real incomes of the country's population continued to decline, amounted to 5.6% per year. Every year, Russian importers increased their purchases of imported vegetables, fruits, berries and nuts by $415 million, which makes the country one of the world leaders in terms of increasing imports of ...
Source: Eastfruit

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