Bulgarian Producers of Fruit, Vegetables Seek to Boost Cooperation with Hypermarkets

Business | July 21, 2015, Tuesday // 10:28
Bulgaria: Bulgarian Producers of Fruit, Vegetables Seek to Boost Cooperation with Hypermarkets Photo by BGNES

Bulgarian fruit and vegetable producers are increasingly interested in expanding cooperation with hypermarkets after the adoption of amendments to the Competition Protection Act, according to Slavi Trifonov, Chair of the National Union of Gardeners.

Only 15% of the goods sold at hypermarkets in Bulgaria are domestically produced, according to the Bulgarian National Radio.

Trifonov suggests that a large portion of the imported goods is characterized by low-quality and has been treated with chemicals.

“Fruit and vegetables are hard to transport to destinations located over 1000 kilometers away. What makes the scheme attractive here is the possibility to carry fruit and vegetables across borders without paying, by taking advantage of corruption schemes involving VAT evasion, which result in losses for the state coffers,” he says.

Fruit and vegetable producers suggest that stores should introduce freshness requirements for fruit and vegetables, meaning that they should be offered for sale within 24 hours of harvesting and sold within another 24 hours.

In Trifonov’s words, the practice will guarantee that fruit and vegetables are not treated with chemicals to increase their durability.

Fruit and vegetable producers also demand swifter payments from retailers due to the fact that they deal in fast-moving goods.

Trifonov says that the current practice is to sign contracts envisaging a 15-day payment period, adding that they usually get their money with a delay of 2-3 days.

He explains that fruit and vegetable producers call for payments within 5-6 days.

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Tags: retail chains, hypermarkets, fruit growers, vegetable growers, Competition Protection Act

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