A rise in food prices is not commensurate with income.
Citizens in Ukraine complained that the increase in their pensions and salaries did not keep pace with the crazy price hikes that swept Ukraine like wildfire. Expressing their dissatisfaction with the absence of the supervisory role on the markets by the competent authorities, this is according to the field report by Ukrgate, standing on the issue of high prices, which citizens considered unjustified in a country that is considered one of the world’s largest producers of foodstuffs, and where there are agricultural wealth. It suffices the needs of about 10% of the population of the planet.
Kiev. Ukraine. Ukraine Gate – February 24, 2021 – Economy
The rise of foodstuffs in the Ukrainian market has increased dramatically, including almost all of the foodstuffs – the prices have risen dramatically. The rise has led to a steady increase in the prices of eggs, which have risen in short periods several times, reaching about 70%, and the price of oils has increased by about 50%, The price of sugar also increased from 50-60%. The price of flour rose to become more expensive at a rate of 20%, accompanied by higher prices for pasta, grains, milk, and meat products, which increased nearly 10% from the previous price.
Crazy price hike and high spending in excess of 50% of income.
According to market indicators and consumers ’opinion polls, the situation is uncomfortable in the future, and the good news is not reassuring. The citizen’s purchasing power is very weak compared to the high prices for foodstuffs and commodities, describing this rise as“ crazy high”.
Experts disapproved of the rise in some commodities in the market, although Ukraine exports large quantities of them abroad. These exported goods are cheaper in foreign markets compared to the price offered at home.
Experts attributed the reasons for the great increase in demand in the domestic and foreign markets, and we do not miss the studies that were conducted in this regard on the consumption of food by the Ukrainian family compared to the European family, as the European family spends 12-18% of its income on food, while the Ukrainian family spends about 50 % Of its income is from food, and these indicators are dangerous. We must work to develop solutions that contribute to finding radical solutions to the unjustified price hike.
Shortage of manpower and an increase in demand in global markets.
In view of the increase in population in the world, which was accompanied by an increase in the demand for foodstuffs, and the Corona pandemic directly affected the agricultural sector, so the workforce did not reach the farms in the harvest season, as well as the drought, Ukrainian farmers did not lose only corn crops that are used for forage; Rather, the increase in feed prices by more than half led to an increase in the cost of eggs, meat, and milk.
The Borscht Index is very important in determining the direction of prices. And in the first traditional course on basic food. With this Porsche indicator, it is easy to track price fluctuations. The Borscht Group started rising in prices in January. But 10% is still cheaper than last winter. Experts explain the rise in vegetable prices according to seasonality.
The price of borsch bread has increased by only a small percentage, and its cost is restricted by the bakery to the expense of the pastry maker. The price of cookies and sweets is not only an expensive ingredient – there is a fraction of the cost of bread.
Everything has become more expensive; Food prices increased; Oil, sugar, and eggs are the most expensive price rises. This is an indication that food prices will become more expensive in the future.
Protecting the market is a duty of the government
For its part, the government has already announced that it has imposed development restrictions aimed at protecting the market and providing food for citizens. The government will tighten control over the sale of grain abroad before the harvest season, and whoever resorts to that will be punished.
Commenting on the rise in prices, the Ministry of Economy said that there would be no return to the state regulation of prices as had been predicted, which led to an artificial shortage of goods. All hope for a good harvest in the future.
Food prices in the market confirm that we are facing a societal food security issue that we must all stand up to and study its effects on society at the present time and in the future.
Presidential assurances to achieve food security
President Vladimir Zelensky has emphasized in many situations the need to achieve food security for society, and government support for the citizen against any price jumps, and that this issue is one of his most important priorities and has always stressed it constantly, as the people are carefully awaiting presidential decisions in the rise in prices in Ukraine.
An observer of trade exchange between Ukraine and the world finds that Ukraine exports the main food commodities to many countries of the world and that this export leads to high prices in the local market, and the government must monitor export operations in order not to be at the expense of the citizen and the local market.
Strategies must be devised to protect the market
From here… we say that we are facing a real problem that we must think carefully about, and develop strategies and programs to solve it in order not to aggravate matters further and lead us to more dangerous curves to what we are now in terms of high food prices in the Ukrainian market..
The government with all its arms, and the private sector, including merchants and partner farmers, and must find radical solutions to curb the dangerous rise in prices, and they must put the citizen’s interest among their priorities, far from quick profit and reaping enormous wealth at the expense of the citizen..
Messages full of hope
The messages sent by citizens are many, carrying cries and great pain, and looks that hope that there will be quick solutions resulting from strict government decisions that fulfill his hopes and provide him with food commodities at prices commensurate with their low incomes.
It is reported that Ukraine has enough agriculture for nearly 600 million people. And that Ukraine is the largest country in Europe by area. Ukraine is considered one of the most in the world in exporting foodstuffs in the world. Its main exports are of commodities that play a major role in achieving food security: wheat, corn, barley, oils, and meat derivatives due to the presence of animal wealth in huge numbers in Ukraine, and other agricultural commodities are grown on its fertile black soil.
Read also: Types of Food that Destroy the Body: 5 Points You Need to Know!
Source: Ukrgate
