New "firestorm" of price increases expected in supermarkets
The rising costs of basic raw materials, which are traded on international markets, along with overall geopolitical instability driving up energy and transportation costs, are setting the stage for a "hot" autumn in terms of consumer prices.
The market has already signaled price increases in coffee, while the rising cost of cocoa is affecting the prices of various food industry products. At the same time, dairy products, milk, orange juice, tea, and butter have already seen double-digit percentage increases compared to last year, and more of these hikes are expected to be passed on to consumers in the coming months.
Over the past year, the price of coffee on international markets has surged by 67%, cocoa by 159%, milk by 19%, dairy products by 12.1%, orange juice by 40%, tea by 20%, butter by 65%, and poultry by 13.3%.
Market insiders note that there is little room for maneuver in an economy heavily dependent on imports.
Consumers will be facing a "bitter" reality starting in September, as representatives of the coffee industry are already predicting price hikes of 15-20% due to reduced production in Vietnam. This year's harvest is expected to be down by at least 5 million tons, causing disruptions and price increases.
Similar predictions are being made by food industry representatives due to rising cocoa prices, as frost in Brazil has significantly reduced production. They are forecasting price increases of 10-20% in certain categories, such as chocolates and beverages. Price hikes are also expected in juices and dairy products.
gnomionline
