Food products in stores have risen in price by almost 10%

According to the Ministry of Economic Development, inflation jumped from 6.97% to 7.26% over the year, updating the record figure of June 2016.

“Compared to August (0.17%), consumer inflation accelerated almost threefold (0.49% since the beginning of September), and the accumulated inflation over 9 months was twice as high as a year ago (2.89%)”, - notes Finanz.ru with reference to Rosstat data.

The most sensitive situation for consumers is in the food sector. Analysts found that the real incomes of the country's population after the annexation of Crimea decreased by 10%, while only in September this year, food products in stores rose by 0.94%. This is the highest figure since 2014.

If we measure "food inflation" in annual terms, then the food basket in the country has risen in price by 9.41%. There has not been such a sharp rise in food prices since January 2016.

The leaders in the rise in price in September were chicken (+ 3.15% per month or + 24.6% per year), beef and pork (+ 12.9%), buckwheat (+ 17.4%), eggs took off (+3 , 5% per week and + 21% YTD). Tomato prices soared by almost a quarter in a month, cucumbers increased by 18.3%. Seasonal vegetables - potatoes, cabbage, onions and carrots - have somewhat fallen in price against the background of the new harvest, but compared to 2020, their prices were on average 30 to 77% higher.

A similar situation is developing in other countries, where the rise in food prices for the week reached 1.7%. Prices for 95 types of basic food products in August were 31% higher than last year. The third world countries, where the population's income level is lower, are especially affected by food inflation.

Experts expect that against the background of a rapid rise in prices, including non-food, by the end of the year the key rate of the Central Bank will exceed 7%, and possibly reach 8-9%, although at the beginning of the year inflation was predicted at 4%.