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[BUSINESS] · Ukraine · 6 sources

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Ukraine salad producers face rising energy and logistics costs

Salad producers in Ukraine are facing severe financial pressure due to rising energy costs and complex logistical challenges. Weakening consumer purchasing power is further limiting the ability of producers to raise prices, forcing many to operate at lower margins or scale back production.

In the Lviv region, the hydroponic producer Galicia Greenery maintained production through the winter despite losses. The company reported that the 2025/26 winter was the coldest in over a decade, increasing energy consumption by approximately 50%, while electricity prices rose by more than 50% compared to the previous year. The company noted that energy accounts for 40% to 50% of greenhouse production costs, and can reach up to 70% in older, less efficient facilities.

Beyond energy, power outages are damaging crops and reducing harvestable quantities. The conflict has also led to the closure of many outdated greenhouses and the destruction of significant portions of the retail distribution network, forcing suppliers to deliver directly to individual stores.

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Galicia Greenery · Ukraine