Russia is experiencing a marked increase in potato prices, with rates escalating by nearly 50% since the year's onset, according to official data cited by Bloomberg on May 9. The Federal Statistics Service identifies this rise as the most pronounced among food products, following a challenging 2024 harvest season.
President Vladimir Putin has emphasized inflation as a primary economic concern, noting, "Back in January, he urged government officials to act quickly to rein in soaring prices." Potatoes, a dietary staple in Russia, have seen retail prices surpass 100 rubles ($1.20) per kilogram in some supermarkets, exceeding national averages.
To stabilize the market, the Russian government lifted a 5% import duty in January, allowing duty-free imports of up to 150,000 tons. Countries like China, Egypt, and Uzbekistan have increased shipments to Russia. Despite these measures, the price trend remains upward.
Agriculture Minister Oksana Lut stated, "We expect potato prices to start falling. In July, we'll begin harvesting our early crops, plus we've got ongoing imports from Egypt and Uzbekistan." However, Bloomberg highlights the potential impact of adverse weather conditions on yields, given the crop's water needs.
As of April 28, the average retail potato price was 84.7 rubles per kilogram, marking a 49% rise since the year's start. Year-on-year, prices have surged by 173%, a peak since 2002. In response, the Agriculture Ministry plans to expand the duty-free import quota as the situation develops.
Source: New Voice of Ukraine