March 16th
2004
“Ketchup’s
Market”
(Valon
Syla & Sevim Mecihan)
SLUG: Ketchup is one
of the most popular condiments used in Kosovo. As the economy is slowly
stabilizing- imported ketchup is now competing with domestic varieties. But which variety- domestic or imported- do
restaurants and households in Kosovo prefer?
As Kosovo citizens are becoming more conscious about purchasing power
and focused on stabilizing the economy- what affect does it have on domestic
enterprises?
If you decide to order a sandwich in any fast food establishment in
Kosovo it’ll be most likely be served with a generous helping of ketchup. This,
according to some waiters in Kosovo, is because in many fast food restaurants,
costumers demand nearly every dish to be served with ketchup. Also in most mini
markets in Kosovo you can find several brands of imported ketchup, along with
domestic varieties, which tend to be a little more expensive than imported
ketchup.
“FATI” is a well-known fast food chain that has several burger shops in
Prishtina. Besim is one of FATI’s senior chefs:
Besim: We are using ‘Idea ketchup”,
which is produced domestically and is of a higher grade, but also a bit more
expensive. Before we used ketchups imported from Bulgaria. Our shops go through
some 8 kilos of ketchup per day.
Ketchup is a major item in most Kosovan kitchens, but producing it in
Kosovo costs more than importing it, according to Ismet Zeqiri owner of the new
ketchup factory “IDEA”.
Ismet Zeqiri: The
biggest obstacle against us, like many other producers is the raw material
entering Kosovo as a final product, paying its high custom duties and VAT; our
next problem is the smuggling which is a problem also for other producers, the
goods are coming in here through different channels, so we cannot compete with
those prices.
Economist Naim Gashi says that food producers in Kosovo are not on equal footing with other producers in the Balkans. Gashi says the reason is that the economic policies of neighboring countries are more sophisticated and assist their businesses and manufacturers, while the economic situation in Kosovo does not provide the same assistance.
Naim Gashi: “All
the countries of the region like Albania, Macedonia, Serbia and Montenegro;
assist their local food producers, releasing them from the import tax on raw
materials and technology needed for starting their production. In Kosovo it’s
the opposite, because everything is taxed in the same manner, no matter if it
is milk, produce or imported cars.”
Naim Gashi believes that food producers in Kosovo should have more support from the PISG and UNMIK saying this assistance this would have a direct impact on the overall living standard of the population in Kosovo. Gashi says that if the current situation is allowed to continue, it will create an imbalance in the Kosovan market, further demoralizing local producers who are struggling to create an industry in Kosovo:
“Idea” is a private,
commercial and production Company established in 1993 by the Zeqiri couple,
Ismet and Zada. Although at the beginning they mostly dealt with trade their
main aim was to start producing ketchup and mayonnaise. Finally last year they managed to do this.
Today “IDEA” provides nearly 50 percent of the Kosovan mini-markets with its
“Idea” brand ketchup and mayonnaise.
Ismet Zeqiri: We are
not sorry at all that we began this business, the only thing that I’m sorry for
is that we didn’t start earlier; my message for the end would be that I believe
that Kosovars travel a lot and saw and tasted different products outside, and I
believe that they will evaluate in the best way the quality. I believe that in the future we will appear
in the market beside lots of different products.
Today IDEA has the ability to
employ people to work one shift with few machines, even so IDEA still manages
to produce nearly 80 thousand kilograms of ketchup and some 50 thousand
kilograms of mayonnaise per month. IDEA
is now in the process of expanding its condiment offerings and are planning to
introduce “Idea mustard” to the Kosovan Market. Zada and Ismet Zeqiri hope that Kosovan Producers will have
competitive prices in the market outside of Kosovo as they aspire to export
their products.