Russia’s annual inflation has increased to 8.68% as of mid-November 2024, up from 8.56% the previous week, according to the Ministry of Economic Development. This rise is attributed mainly to higher food prices, especially fruits, vegetables, and dairy products, driven by supply limitations.
Key Inflation Drivers
- Food Price Surge:
- Fruits and vegetables saw a significant price rise of 4.09% during the week of November 12–18.
- Other food items, including dairy products, experienced a 0.42% increase.
- Non-Food Price Trends:
- Prices in the non-food sector grew by 0.12%, with declines observed in medicinal products and household appliances.
- Services Sector:
- Growth rates in service prices slowed to 0.25%, influenced by a drop in hotel service costs.
Government Measures to Address Inflation
To counter rising food prices, the Russian government has implemented several measures:
- Customs and Tariff Adjustments:
Temporary benefits, including zero import duties for limited quantities of beef, poultry, eggs, and tomatoes, were introduced. - Export Bans:
A ban on rice exports is currently in effect, with discussions underway to extend it into the first half of 2025. - Expanded Imports:
The list of butter suppliers has been expanded, with duty-free import benefits being negotiated with partners in the Eurasian Economic Union.
Inflation Outlook
The Ministry of Economic Development has emphasized the importance of these measures in mitigating the impact of inflation on consumers. However, continued monitoring and adjustments may be required to stabilize prices and maintain economic balance.
