“The expert explained what caused the rise in prices for vegetables and dairy products in UkraineInflation in Ukraine reached 12.9%, which led to higher prices for vegetables and dairy products. The reasons for this were
weather conditions, labor shortages, and an increase in dairy exports.”, — write: unn.ua
Details
Inflation in Ukraine continues to grow. In fact, if in December we stated more than 12%, then at the end of January it was already 12.9%, which is a factor of growth. The inflation factor leads to growth in all product groups
According to the expert, the summer drought led to the loss of a significant amount of crops, starting with the vegetable group. This factor also partially affected grain crops, which led to their price increase.
If we look at the vegetable group, due to the lost yields, the amount of quality products that can be stored is not so high. And the domestic demand for vegetables is quite serious and large, and accordingly, prices for the vegetable group have also gone up
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As he noted, in January, vegetable prices rose by about 5%, and they are not expected to decline until the new harvest.
According to Mr. Marchuk, winter is traditionally a time of lower milk yields, which creates a shortage of premium milk. In addition, competition for high-quality raw materials has increased due to the growth of exports of Ukrainian dairy products, particularly to Europe.
“Now they (prices) have partially stabilized for milk, I mean the extra-class milk that is purchased, but in late December and early January it was rising in price. Again, due to the fact that we export and due to the fact that the grain group has grown, feed has grown, and the cost has gone up,” the expert said. “We also base the energy prices here on the appropriate level to ensure the operation of dairy farms there. Energy is expensive, if we are talking about vegetable warehouses, generation for insulation of the respective warehouses is also very expensive. And, unfortunately, we cannot say that we will see cheaper products there in the near future.
Bakery products rose by 20% in 2024, and this trend, according to Marchuk, will continue in 2025. A gradual increase of 1-1.5% per month is expected. One of the reasons is the mobilization of workers, which forces companies to invest in production automation, increasing production costs.
An important factor in bread prices is that, for example, there is a very large number of mobilized workers, and there are not enough of them for production and processing, and many have started investing in equipment and technology. Technology is quite expensive – it replaces human labor. Accordingly, it will also be included in the cost of production
Eggs are the only product that has fallen in price. As spring approaches and supply from private households increases, prices should stabilize.
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