Potato crisis in Russia: prices climb, supplies disappear!

Potato crisis in Russia: prices climb, supplies disappear!

Russland - In Russia, prices for staple food such as potatoes and onions shot up, while the availability of these products has dropped. President Vladimir Putin has confirmed the bottlenecks in sugar beet and some vegetables. Despite large acreage, food prices have risen as much that they are now almost three times as high as a year ago. A kilo of potatoes already costs over one euro in June, while the prices for onions doubled and who rose by more than 50 percent for Kohl, as krone.at.

According to Rosstat, the average income in Russia is just under 1000 euros in front of taxes, while pensioners have to make do with just more than 200 euros. These figures underline the challenge in front of which many citizens stand as the rising food prices drive inflation to 9.6 percent. In order to combat this trend, the Russian central bank increased the key interest rate to 20 percent. Schweizerbauer informs about the increasing living costs and the pressure on the economy.

inflation and its effects

Inflation in Russia has particularly influenced prices in the food sector. Studies show that the monthly expenditure of the Russians for food has risen by 4,500 rubles to around 21,100 rubles in the past two years, which corresponds to around 45 to 210 euros. A third of the entire expenditure of the Russians is on food, and the number of those who are more than 200 euros for these expenses has increased.

While the government hopes to increase the grain harvest to 170 million tons by 2030, the current trend shows a step backwards in the income. Economic Minister Reschetnikow warned of a possible recession because the investments in the third and fourth quarter could be below the previous year's level. In addition, significant increases in production in the armaments industry, including construction and automotive industry, disadvantage. emphasizes that new car purchases broke up by 26 percent compared to the previous year.

perspectives and recommendations

The problems in food supply have also caused certain advice for cost savings. Alexander Lukaschenko, President of Belarus, recommended that potatoes only consume once or twice a week. In this context, the blind new potatoes will be expected from next week, which could possibly lead to a decline in prices.

The Russian population, which comprises around 145 million people, faces a complex economic environment in which the high living costs and fragile food supply are connected. Critical voices warn of the long -term consequences of such economic challenges and the need for a new growth model to cope with the current crisis.