Company Becomes Industry-Wide Link to New Markets April 30, 2007
Moldova’s Dried Fruits and Vegetable Sector Expands with the Help of a New Equipment Supplier Challenge
Moldova was once the main supplier of dried fruits and vegetables to the Soviet Union. Following its collapse and resulting economic decline, Moldova’s dried fruit and vegetable sector suffered dramatically. In recent years, the sector has been able to recover somewhat with production levels rising to roughly half of levels prior to 1991. As a result, employment and incomes in the sector have increased providing much needed relief to Moldova’s strained rural economy.
Key to continued growth and recovery of Moldova’s dried fruit and vegetable sector is for it adapt to the increasingly global marketplace and export its goods to high value Western markets. However, most of the equipment used by the sector is out-dated Soviet machinery that does not meet Western standards thus barring many of the companies from exporting to these markets. For Uniferax-Grup, Ltd., a local drying processor, the solution was to develop equipment that met Western standards. That worked well for the company, but for the rest of the sector, this technology was still not available and they lagged behind. Initiative
USAID Agribusiness Development Project (ADP), implemented by CNFA® saw the opportunity for Uniferax-Grup, Ltd. to take a new direction. If the company marketed its equipment, it could provide the means for many of Moldova’s dried fruit and vegetable producers to enter Western markets. To help Uniferax-Grup achieve this goal, ADP created business linkages between its clients and the company. Study tours were then organized to provide Moldovan producers the chance to see the equipment first hand. Results
As a result, eight Moldovan companies began to use Uniferax-Grup equipment, including five of ADP’s partners. With the new equipment, six of these companies are now exporting their goods to Western markets. With small but influential investments, this USAID initiative opened new markets for local Moldovan producers. In turn, the rural economy, which is heavily reliant on the agricultural sector, benefits. Other industries in the agriculture sector will benefit too as Uniferax-Grup is now planning to develop equipment solutions for packinghouse operations – another high priority for the export potential of Moldova’s agriculture sector. Quote: There is a growing demand for processing equipment in Moldova. As we gain experience and keep more and more clients satisfied, we plan to expand the range and volume of produced equipment to meet the needs of agribusiness companies. Nicolae Oleinic, Uniferax-Grup Ltd Director  | Photo caption: Uniferax-Grup washing machine used by the fruit processing company Monicol Ltd impressed Moldovan producers during a study-tour organized by ADP on September 29, 2006. | |