Local food producers feeling the competition

  • 2004-08-12
  • Baltic News Service
VILNIUS - Since May imported foodstuffs have been squeezing domestic products from Lithuanian store shelves, the Verslo Zinios business daily reported last week.

The rise in the amount of imported goods, including milk, milk desserts, biscuits, coffee, chocolate, sugar and tomatoes has been particularly high at IKI grocery stores.
"Lithuania's producers face the strongest increase in competition with imported sugar and tomatoes," said Aidas Mackevicius, CEO of Palink, operator of the IKI chain.
VP Market, the country's largest retail chain, began importing sugar, Polish milk products and alcoholic beverages once the country joined the European Union.
Ignas Staskevicius, VP Market CEO, forecast a decline in sugar prices thanks to cheaper imports.
Local spirit distillers have also begun to fret as well since the price of Scottish whiskey was comparable with that of Lithuanian hard liquors, Staskevicius said, adding that similar trends were observed in the beer and juice segments.
RIMI Lietuva has boosted imports of sausages and cheese, said Inga Skisaker, company's CEO, particularly from Austria, Italy, Spain and other EU countries. Buyers tended to buy more rare foreign cheese brands, sausages and ham.
Still, representatives of retail operators said the rate of imported goods might have been even greater if the country's food producers had failed to adjust their marketing techniques.