Key food in Ukraine more expensive to fly.
This January has broken a long-standing food traditions in Ukraine. Usually after a new year’s price increase after the holidays, the food is a little cheaper.
But at the beginning of this year, the majority of socially significant products continued to grow, writes domik.ua.
“Just pork and lard fell by 1%. Prices for poultry meat and chicken eggs remained at the same level”, — said the Executive Director of the NGO “Economic discussion club” Oleg Pendzin.
According to him, the leader of the price increase was the potatoes, adding in January from 16% (+84 kopecks per kilo). In the capital wholesale this product can be purchased at of 4.2-4.5 UAH/kg In retail product release a minimum of 6 UAH/kg.
Food inflation
Other traditional vegetables rose in price by half at a slower pace than potatoes, on average, 8-9% for the month (adding 30-40 cents per kilo). These data lead to the Association of suppliers of retail chains. Carrots on the wholesale markets now sell 3.2 to 3.8 UAH/kg, cabbage 3-4 UAH/kg. In the same price range offered onions and beets.
“However, the vegetables in January 2017 are approximately two times less than a year ago,” said Oleg Pendzin.
According to the head of the Association of retailers of Ukraine Alexey Doroshenko, vegetables and will continue to add in the price about 5% every month until spring when the market will be early cabbage, carrots, beets.
To move prices up are two factors: storage cost, which depends on energy prices, and reduce inventory of quality products. This is well illustrated by the example of the potato, with a good harvest bad manages to keep.
In turn, the expert of agrarian business Denis Marchuk said the sharp rise in prices of garlic, which last year cost 60 UAH/kg, now — 90 UAH/kg.
Recall that from February 1, 2017, “Naftogaz” has raised the prices for gas for consumers by 21-22% to 9-10 thousand UAH per thousand cubic meters depending on the conditions of use and payment. Also from February 1-3% increase in the cost of electricity for industrial consumers.
“It is noteworthy that in June last year, the national Commission resolution from June 13, 2016 No. 1129 was allowed to raise the cost of electricity every month, but not more than 3%. This means that now every month, the energy industry can grow in the price”, — says Denis Marchuk.
Plus, according to him, electricity connection was raised six times, which will adversely affect the plans for the establishment of new industries, for example, greenhouses.
Thus, as expected, vegetables and other products will go up 5-8% every month until the beginning of the summer.
“There are a range of factors pushing prices up, and the almost complete absence of the restraining influence of the state. This and the increased cost of transportation due to the cost of fuel and the increased costs associated with staff wages due to the increase minimum deductions from salaries,” — said Oleg Pendzin
As a result, as noted by Alexey Doroshenko planned by the government in budget 2017 inflation of 8% is exceeded already at the end of the first quarter.
The menu at exorbitant prices
Among the fastest growing in the price of goods, the experts are called dairy products. So, according to the Association of milk producers, the procurement price of raw materials in January compared to January 2016 and increased by almost 50%. Per month raw milk of extra-class rose by 3.9% to 9.43 UAH/liter.
And the cheapest product is the milk of the first grade — has risen from 7% to 8.82 UAH per liter.
Consequently, raised prices, and processors. For the month of yogurt added to the price of 10% — up to UAH per liter of 25.09. Sour cream and cheese rose by 6% (for 4 UAH), to 42-43 UAH/liter. the Price of yoghurt in January fluctuated constantly and reached its peak on January 27 — 49 UAH per liter, and then dropped to UAH 46,62.
Butter with fat content of 82.5% in early February, the cost to 167.6 UAH, adding to the price per month is approximately 3% or 4 UAH. According to Denis Marchuk, a more cheap peasant butter (fat 72, 5%-73%) increased by 10 UAH 145 UAH/kg that is, the cheapest milk is going up faster.
“In addition to the shortage of raw materials and expensive energy, the cost of the food product is laid, and exchange rate risks that affect the cost of imported ingredients,” says Denis Marchuk. Price records puts and bakery products. According to Oleksiy Doroshenko, for Jan the bread has risen more than 4%, or 40-50 cents per loaf.
“It’s a lot, considering that the bread, along with potatoes and pasta has a very large place in the structure of consumption”, — said Oleg Pendzin.
According to him, the average Ukrainian eats 110-112 kg of bread per year at the rate of up to 100 kg, potatoes — 140 kg per year while the norm of rational consumption of 124 kg meat But we eat less than it should be: a total of 51.4 kg instead of 80 kg/year.
By the summer the price of bread reach of 12.60 UAH per loaf, and white — 13 UAH. experts predict.
We will continue the growth of prices for beef, which rose in January by almost 5 UAH per kilo, and in some areas, and 15 UAH. The reason is simple — reduced the number of cattle. Now the cost of beef has already reached 25-260 UAH/kg, other cuts of beef sell at 110-20 UAH/kg.
“Will rise in price and sugar, so the spacecraft increases its exports,” — said Oleg Pendzin.
In January this product added 3% to 17 UAH/kg. according to the National Association of sugar producers “Ukrtsukor” sugar exports from Ukraine in the 2016/2017 marketing year (MY, September-August) will be 500 thousand tons, which is 4.4 times more than the year before.
To keep the prices of almost all commodities is their ample supply because of the shortage of food in Ukraine.
“So eventually the price will depend on effective demand within the country”, — said Denis Marchuk.
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