Resources go to tanks and bombs. In Russia, product prices have risen to record levels over the past 2 years

The Moscow Times writes about this with reference to Rosstat.

“Inflation in Russia continues to accelerate, despite the Central Bank’s interest rate hike and the authorities’ attempts to prescriptively regulate prices at the level of retail chains,” the publication says. — “In the week from December 10 to 16, the consumer price index added another 0.35%, and annual inflation accelerated to 9.52% – a new high since January 2023.”

At the same time “to dominate” food inflation continues.

Since the beginning of the year, potatoes have risen in price by 88.8% after frost, floods and heat destroyed 20% of the crop, or 1.6 million tons.

The growth of prices for onions accelerated to 45.4%, for cabbage – to 40.3%, for beets – to 30.8%.

Butter, according to Rosstat, has risen in price by another 1.8% since the beginning of December and 34.4% since the beginning of the year, despite the government’s decision to open imports from India, Iran, Turkey and the UAE.

The increase in prices for milk accelerated to 19.1%, for sour cream to 18.5%.

Since the beginning of the year, prices for lamb have increased by 22.6%, beef by 12.4%, bread by 14.3%, carrots by 14.1%, and apples by 18.4%.

“Inflation is out of control, price growth not only does not slow down, but even does not stabilize, but only accelerates,” the publication says. — “Prospects of combating inflation due to the increase in the supply of goods, which the authorities are considering, are still rather vague. The resources of industry and the economy are thrown into the production of tanks and bombs, while opportunities for imports are narrowed by sanctions and payment problems.”

As reported, the minimum retail prices for strong alcoholic beverages will rise in Russia starting January 1, 2025. The minimum price of vodka will increase by 50 rubles, or 17%, to 349 rubles for 0.5 liters.