Three factors for the success of fruit and vegetable exports from Uzbekistan to the EU and the Middle East • EastFruit

Nearly two weeks have handed because the EastFruit‘s first commerce mission to Uzbekistan ended, throughout which Uzbek exporters of contemporary vegatables and fruits met with giant patrons from the EU and Japanese Europe, in addition to with native grocery store chains. In the meantime, Uzbek exporters are persevering with negotiations with patrons and are drawing the primary conclusions on how their necessities might be met.

In response to each events of the negotiations, the EastFruit crew has compiled an inventory of three essential elements for the profitable exports of Uzbek vegatables and fruits to the EU and the Center East. Right here they’re:

1. High quality
2. High quality
3. High quality.

Sadly, it’s low high quality that’s the weakest level of Uzbek merchandise. And the reason being a misunderstanding of what’s the “high quality” that farmers have had because the time when Uzbekistan was a part of the communist empire – the USSR.

Within the trendy world, “high quality” is a set of product traits that totally meets the necessities of the customer (importer or grocery store chain), i.e. who the grower or exporter sells his produce to. For the customer, the looks of the product is essential not within the area, however when it arrived on the purchaser’s warehouse after transportation and customs procedures. It’s simply as essential for him how the product is packaged, how lengthy will probably be capable of keep its look after it’s shipped to the grocery store chain or the market, and the way this product will fulfill the patron by way of its style.

High quality in Uzbekistan is sometimes called the style of products within the orchard or within the area and normally, it’s not customary to argue about tastes. If shoppers in Uzbekistan love very candy fruits, this doesn’t imply that everybody on the planet share their style. For instance, when supplying desk grapes from Italy to Germany, the Italian producer controls the sugar restrict, as a result of too candy grapes are usually not demanded within the international locations of Central and Northern Europe! Accordingly, if the sugar content material within the grapes is exceeded, the grapes are now not thought of by the German importer to be of top quality. Nevertheless, they are often bought fairly efficiently within the native Italian market, the place shoppers are extra accustomed to candy fruits.

You also needs to keep in mind that the standard of merchandise after harvesting can’t be improved, it may possibly solely be preserved, and just for a restricted time, in the case of contemporary vegatables and fruits. Due to this fact, merchandise should initially be grown, harvested and refined with a watch to the longest attainable preservation of their high quality. Merchandise within the area are usually not a commodity – they’re a uncooked materials. Solely correctly harvested, cooled, packaged and delivered to the importer’s warehouse merchandise that glad him by way of high quality might be referred to as “items”.

Due to this fact, it is vitally essential for the related ministry of Uzbekistan (and never solely the agrarian one) to start systematic work proper now to clarify to entrepreneurs approaches to understanding high quality, the distinction between “items” and “uncooked supplies”, the significance of learning all the necessities of the customer and the principle approaches to advertising and marketing.

However what in regards to the worth? Isn’t the value a decisive issue for the profitable sale of merchandise?

“Uzbekistan is just too removed from markets and logistics are too costly to afford to develop and promote low-cost low-quality merchandise” says Andriy Yarmak, an economist on the Investments Centre of the Meals and Agriculture Group of the United Nations (FAO). “Our a few years of worldwide expertise present that by growing efforts to enhance product high quality by 15-20%, many producers can enhance the worth of their merchandise and income by not less than two occasions!” the skilled says.

Due to this fact, the value is at all times an essential issue, however there may be the distinction between competing in a low-price phase and in a excessive or premium one. In any case, even available in the market of Uzbekistan, you could find apples at 50 cents or apples at $3/kg at a market or in retailer on the similar time. Accordingly, the prices of logistics and manufacturing of each apples can be comparable, however the producers’ incomes will differ considerably.

Thus, the three most essential elements for the success of the export of Uzbek vegatables and fruits to the Center East and the EU international locations, the place patrons are prepared to pay a excessive worth for the product, if it fits them, are: high quality, high quality and once more high quality.