The leaders in price growth were building materials and some types of vegetables from the “borsch set”. Photo: Alexander Ryumin / TASS
The rise in consumer prices for 2021 was the most severe since 2015. Then there were 12.9%, now about 8.4%. The most serious rise in food prices – by 10.6% (December 21 to December 20). This is the official data of Rosstat.
But there are a number of products that have grown in price much more than the “average temperature in the hospital.” Small tricks of statistics: if you look at the data on average for the year in comparison with the previous year, the situation turns out to be more favorable. But if the end of December 2021 is by the end of December 2020, then the increase in prices for some products and goods comes out by more than 50%, or even double (see “Top 10 Champions in Price Growth”). A number of experts consider these data to be more indicative: this is exactly what Russians see in stores in the middle of winter, and not the average statistical price for a year.
Anyway, the most indisputable “champions” were building materials and some types of vegetables from the “borsch set”. Which has caused amazement for more than one month. All right, what exoticism would rise in price in our country at a faster pace, otherwise native potatoes, cabbage, beets and wood, the absence of which Russia did not suffer even in more difficult times.
Explanations of the situation for this year have already been given immeasurably. “KP” has also repeatedly written about the rise in prices for building materials, and about potatoes, and about buckwheat, which in our country always starts to rise in price in a difficult situation, even with a good harvest. Let us recall a brief summary of the previous series.
It is difficult today not only for us: in the world as a whole, food prices increased by 28.1% in 2021 (estimates of the Food and Agriculture Organization of the United Nations – FAO). This cannot affect us either: with rapidly growing world prices, domestic producers have a desire to sell everything that is possible abroad. No matter how the government tries to regulate the situation with export duties and other similar measures, it breaks through somewhere. We observed this first with sugar and sunflower oil, then with building materials. In addition to external ones, there are also internal problems. For example, most of the vegetable stores in Russia are a legacy of the Soviet era, which is slowly falling apart. And those are not enough. So, from time to time, a deficit is created almost from scratch (this, of course, is more profitable than investing in expensive infrastructure).
WHAT WILL HAPPEN IN 2022?
Here’s how it promises to solve the problem with vegetables and root vegetables Ministry of Agriculture:
-In order to further develop domestic vegetable and potato growing, the Ministry of Agriculture of Russia is developing a federal project that provides for a set of measures aimed at both increasing production and organizing the infrastructure for storing and selling vegetables and potatoes. In general, it is planned to allocate an additional 5 billion rubles in 2022 for the accelerated development of the vegetable growing industry. It also envisages an increase in funding for the coming years. This will increase the production of potatoes and vegetables in the organized sector by 15%.
And here is a commentary on building materials made of wood from Roslesinforg (this is a state organization that now deals with everything related to forest accounting):
– Due to the tightening of the export of unprocessed timber, the share of timber processing within the country will grow over time. In the first half of 2022, sawnwood and roundwood prices are expected to be downward compared to today’s levels.
WHERE IS THE INFLATION IN 8%, IF A LOT OF GOODS INCREASED IN PRICE BY 20-30%?
Rosstat displays its consumer price index for a very wide range of products, manufactured goods and services. And the rise in price in 2021 was extremely uneven. For example, footwear and clothing rose in price by only about 3%. And among the products there are even cheaper ones. There are, however, few of them. In particular, apples fell in price by almost 5%. This is connected with a good harvest, as well as serious state support for domestic orchards of “industrial design” (that is, those that can supply large quantities of apples to trading networks).
The most expensive categories of goods and services
(Dec 2021 to Dec 2020)
Building materials + 23.8%
Meat and poultry + 17.5%
Tobacco products + 16.4%
Groats and legumes + 16.1%
Chicken eggs + 16.0%
Pasta + 14.5%
Fruit and vegetable products + 14.0%
TV and radio goods + 12.7%
Butter + 12.3%
Granulated sugar + 12.3%
Hotel services + 12.3%
Top 10 products and goods – “champions” in price growth
(end December 2021 to end December 2020)
1. Cabbage + 139%
2. Edged board + 67%
3. Potatoes + 57%
4. Particleboard / OSB boards + 52%
5. Metal tiles + 42%
6. Carrots + 33%
7. Vacation trip to Turkey + 30%
8/9. Chickens + 27%
8/9. Matches + 27%
10. Buckwheat unground + 26%
(According to Rosstat)