1. EU-funded Project “Implementation of Ukraine’s Commitments under WTO and ENP Frameworks in the Rural Sector (Sector-Wide Approach)” European Union Horticulture Markets - Considerations for Ukraine Roundtable Hotel Zvezdnaya, Simferopol Thursday 7 th July 2011

2. EU-funded Project “Implementation of Ukraine’s Commitments under WTO and ENP Frameworks in the Rural Sector (Sector-Wide Approach)” European Union Horticulture Markets - Considerations for Ukraine 15% of value of EU agricultural production comes from horticulture Worlds 2 nd biggest global producer (10% of total) 40 billion EUR trade value per annum Majority of production on land areas less than 4 ha Traceability Fair trade ethics Private standards and supermarket power Climatic change, food miles, carbon “footprint” Healthy eating WTO agreements Logistics and e-commerce Most horticulture is labour intensive Smaller holdings can produce better quality produce Fruit and vegetables are living products that start to deteriorate after picking

3. EU-funded Project “Implementation of Ukraine’s Commitments under WTO and ENP Frameworks in the Rural Sector (Sector-Wide Approach)” European Union Horticulture Markets - Considerations for Ukraine European Union Horticulture has never received direct production subsidy payments. Since 2008 focus has been upon support to: Producer Organisations (POs) Crisis Management Inclusion of fruit and vegetables in the Single Payment Scheme (SPS) Environmental measures Encouraging greater consumption Transitional soft fruit payment for processing Separate fruit and vegetable payments for SAPS countries (Balkans/Turkey)

4. EU-funded Project “Implementation of Ukraine’s Commitments under WTO and ENP Frameworks in the Rural Sector (Sector-Wide Approach)” European Union Horticulture Markets - Considerations for Ukraine EU Regulations: Commission Regulation (EC) No 1580/2007 Fruit and Vegetable Sector Commission Regulation (EC) No 1221/2008 Fruit and Vegetable Marketing Standards

5. EU-funded Project “Implementation of Ukraine’s Commitments under WTO and ENP Frameworks in the Rural Sector (Sector-Wide Approach)” European Union Horticulture Markets - Considerations for Ukraine General Marketing Standards Definition of produce Provisions regarding quality -Minimum quality requirements -Minimum maturity requirements -Classification (Extra, Class 1, Class 2) Provisions regarding sizing Provisions regarding tolerances Provisions regarding presentation -Uniformity -Packaging -Presentation Provisions regarding marking -Identification -Nature of produce -Origin of produce -Commercial Specification Some significant products excluded from marketing standards such as : potatoes,sweetcorn, wild mushrooms, chilli peppers, capers, brazil nuts bitter almonds, shelled almonds, shelled hazelnuts, shelled walnuts, olives, bananas, saffron, ginger, peanuts, sweet potatoes, yams.

6. EU-funded Project “Implementation of Ukraine’s Commitments under WTO and ENP Frameworks in the Rural Sector (Sector-Wide Approach)” European Union Horticulture Markets - Considerations for Ukraine A growing local demand for vegetable raw materials (fresh and processed) Large percentage of marketed production from household producers Wide yield variations between growers Lack of proactive strategies implemented to overcome high price variabilities through and between seasons Low level of application of a complete range of modern farm management techniques Undeveloped/unexploited market for niche and added value production Level of understanding, or measurement of, harvest and post-harvest losses Disorganised fresh vegetable/fruit markets Low use of advanced technologies for production/harvest/post harvest/marketing Low level of grower organisation and networking Little quality differentiation/incentives or branding Concerns regarding water availability/quality and management Insufficient access to seasonal and medium term credit for many growers Low levels of crop/farm insurance A lack of reliable or relevant vegetable production or marketing research or commercial horticulture training/advice available locally

7. EU-funded Project “Implementation of Ukraine’s Commitments under WTO and ENP Frameworks in the Rural Sector (Sector-Wide Approach)” European Union Horticulture Markets - Considerations for Ukraine Production -Variety selection (early/late varieties) -Planning planting calendars/ scheduling -Yields (seedlings/saplings propogation, planting/cultivation techniques, good agricultural practices) -Protected cultivations Post Harvest Technologies -In field techniques (picking/trimming/cooling/grading/curing/ handling/packing etc -Transport and logistics and infrastructure -Storage, chilling, freezing, ripening -Grading and packing

8. EU-funded Project “Implementation of Ukraine’s Commitments under WTO and ENP Frameworks in the Rural Sector (Sector-Wide Approach)” European Union Horticulture Markets - Considerations for Ukraine Marketing -Information -Proactive selling -Buyer linkages/contracting/processors/supermarkets -Farmer/assembly and wholesale markets -Specifications and standards -Promotion and branding -Specialist agents and intermediaries Management Approaches -Organisation and innovation -Record keeping -Gross margin analyses/cash flow/financial analsyses -Electronic commerce

9. EU-funded Project “Implementation of Ukraine’s Commitments under WTO and ENP Frameworks in the Rural Sector (Sector-Wide Approach)” European Union Horticulture Markets - Considerations for Ukraine Commercial producer marketing organisations (PMOs) Effective farmer extension -Commercial and specific focus -Farmer to farmer -Research/commerce links -Participatory approaches and team building Improved investment climate

10. EU-funded Project “Implementation of Ukraine’s Commitments under WTO and ENP Frameworks in the Rural Sector (Sector-Wide Approach)” European Union Horticulture Markets - Considerations for Ukraine Some international websites: www.freshinfo.com www.eurofruitmagazine.com www.eurep.org www.fruitnet.com www.farmline.com www.ghvi.co.nz www.asiafruitmagazine.com www.thegrower.org www.fruitandveggie.com www.marketfresh.com.au Software and Services www.freshware.co.uk www.hplgroup.com Training materials www.frelectra.gr EU Swap-Rural Programme in Ukraine 16-A Mechnykova Str. Office 916 01023 Kiev www.swap-rural.org.ua Tel: +380 44 3550178