TIRANA, May 23 /ATA/- Countries export same produce at varied prices.
Tomato is an interesting example to illustrate the point. The recently released World Bank report states that the unit value of tomatoes exported by some countries is about 50 cents / kg, while Italy exports them at $ 2.4 / kg and the export price for Albanian tomatoes is five times smaller than the Italian ones.
What is the reason behind this difference in price?
Experts quoted in the report say that increase of exports in categories of existing produce or diversification into new categories requires significant investments in production facilities and new relations with customers in foreign markets”.
According to WB, improvement of exports can bring higher prices, hence higher profits, and encourage other domestic producers to export. Incremental profits enable new investments, expanding and improving production. Even a small increase in export prices may have a major impact throughout the entire domestic value chain.
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