Russian ZERNO news network reported on April 11 that Avilisov, director of the Agricultural Analysis Center of the Russian Ministry of Agriculture, said that the Russian food inflation rate may slow down in the second quarter. The price-limiting measures taken by the Russian government will gradually take effect starting from the second quarter. Since December last year, the prices of cereals, flour, sugar and sunflower oil in Russia have fallen. The drop in grain prices has avoided the rise in the cost of domestic bakery products, and will have an impact on feed production and other related industries in the next month.
In addition, favorable international market factors will also reduce Russian food inflationary pressures. Due to better cereal harvest expectations and increased sugar exports from India, the International Food and Agriculture Organization believes that global cereal and sugar prices fell in March. In the medium term, this will have an impact on product prices.
According to data from the Russian Federal Statistical Office, the Russian inflation rate in March increased by 0.66%month-on-month (0.78%month-on-month in February) and 5.79%year-on-year (5.67%in February). The increase in Russian food prices in March increased by 0.82%month-on-month (1.22%in February) and 7.58%year-on-year (7.72%in February).