Pepper market dynamics in Ukraine

Ukraine has diverse dynamics of pepper production, which is determined by the impact of war and occupation on the main production region. According to the analysis of the investment company Inventure, in 2022, the production volume decreased significantly by 33%, but in 2023, there was an increase of 20%.

Although specific data on pepper production in 2023 are not yet available, preliminary estimates suggest a 20% increase. Expansion of the sown areas in the central and western regions contributes to the positive trend in the production of sweet pepper. Among the variety of varieties in Ukraine, there are 6 best for cultivation.

In 2021, Ukraine ranked 18th in the world in terms of pepper production, producing 163 thousand tons of sweet pepper. Kherson region was an important part of the production, accounting for 25% of the total.

Between 2016 and 2022, imports of pepper to Ukraine tripled, indicating changes in consumer trends and increased interest in vegetables in the daily diet. However, in 2022, the market faced difficulties due to the war, which led to a 38% decline in its volume.

The ideal temperature regime for growing peppers (from +10 °C to +30 °C) ensures their cultivation in different regions of Ukraine. According to official data, the total area under pepper crops is about 45 thousand hectares.

As production resumes, an important improvement will be the construction of a greenhouse complex in Lviv region. The project, which is worth approximately €70 million, will grow tomatoes, cucumbers, lettuce, and peppers. Construction is scheduled to begin in 2024, and the first phase is expected to be launched in 2025.