Magazine: More funds needed for development in the fruit and vegetable sector

According to interprofessional organisation FruitVeb, it is good news for consumers that there will be no major increase in the price of watermelon this season.

Last year 90,000 tons of sour cherry was harvested in Hungary. This year’s yield will be lower, at around 65,000 and 18,000 tons of cherry is expected to grow. Due to the spring frost less peach and apricot will be harvested this season. As for vegetables, 180,000 tons of pepper, 120,000 tons of tomato and 37,000 tons of sweet corn are produced this year. Last year was noteworthy in Hungary’s fruit and vegetable farming as the yield reached 2.97 million tons – almost 20 percent more vegetable was harvested than in 2013 and 25 percent more fruit was produced. 1.4 million tons of vegetables were grown on agricultural land (not in orchards). The combined retail value of the fruit and vegetable sector’s output was HUF 700-710 billion – 10-15 percent more than before. Due to oversupply production prices remained low. This year the fruit and vegetable farming sector receives HUF 72 billion funding from the Rural Development Programme’s (VP) total budget of HUF 1,300 billion. Those who work in the fruit and vegetable sector say in the next 6-8 years HUF 160-180 billion should be invested in the sector if we want products to be competitive in the market. HUF 100-120 billion would be needed in production and about HUF 60 billion in processing. The sector’s profitability rate has reduced very much because of the black economy: estimation is that the black market for vegetables generates net HUF 10 billion for the criminals. Online cash registers and the introduction of the Electronic Trade and Transport Control System (EKÁER) contributed to ‘whitening’ the sector a little. According to the Ministry for National Economy, until 15 June more than 43,000 enterprises registered in the EKÁER system and HUF 6.4 billion worth of unpaid taxes were revealed by inspections.