Russia: Vegetable Prices Keep Rising
In 2014, Russia produced 15 million metric tons (MMT) of fresh vegetables which covered around 86 percent of total domestic consumption needs. The vast majority of all vegetables in Russia (70 percent) are grown by households and do not enter modern retail channels. The retail sector is highly dependent on imported vegetables – particularly during the off season. In 2014, Russia imported 2.4 MMT of fruits and vegetables making it the third largest importer globally. In early August 2014, Russia banned a number of food and agricultural products, including fresh vegetables, from the United States, Canada, European Union, Australia and Norway in response to the application of economic sanctions. The import restriction, in combination with a depreciating ruble, resulted in a 43 percent price increase for fruits and vegetables in February 2015 compared to February 2014.
