Russians are forced to save on bread
Russians massively started buying cheaper bread. This was stated by the executive director of the association of manufacturers and suppliers of food products “Rusprodsoyuz” Dmitry Vostrikov, citing the economic consequences of the COVID-19 pandemic. At the same time, only the middle price segment of the market suffers; supply and demand in the VIP-sector remain unchanged.
“There is a transformation going on – a transition to a cheaper segment while maintaining the most marginal higher segment, that is, we can say that the middle segment is being redistributed towards a lower paying capacity of the population, and I think that, unfortunately, this trend will continue,” said Vostrikov.
At the same time, prices for grain and packaging continue to grow; expenses for the sanitary protection of workers are added to them. Therefore, experts predict a continued trend towards a redistribution of supply and demand in the direction of low-price segment products.
This, unfortunately, is quite natural. After all, the welfare of ordinary Russians is not growing. As a recent study by the Romir holding company shows, in May 2020, the part of income spent on food among regular workers reached 42%, which is a third more than last year. This indicates a general decrease in the income level of ordinary people. In the future, holding experts are predicting stabilization of the situation, but they are not promising a return to previous indicators.
On the whole, the transition of the majority of middle-level buyers to cheaper products, while the higher segment statistics seem to be unchanged, suggests that the consequences of the crisis are most acute specifically for ordinary Russians. It is them who will pay for the agony of their long-obsolete system.
Until the working people realize this and begin to seriously fight for their well-being, they will be forced to pay more and more.