Rise in Prices to Accelerate - Gubad Ibadoglu

Two-month "stability" of the manat did not stop the rise in prices and vice versa, prices grow at a high pace, said the head of the Center for Public Initiatives Gubad Ibadoglu.

On his Facebook page, the economist noted that, on the one hand, price increases can be attributed to seasonal factors and decisions of the Tariff Council (rising energy and gas prices - auth.).

“At the same time, a serious role in this process is played by traditional factors, such as the strengthening of the monopoly in the consumption and import markets. So, the company Azersun occupying the leading positions in the consumption market increased retail prices for food products,” Ibadoglu said.

The expert noted that the monitoring of the structure of imported goods shows that in January this year, compared to the same period in 2016, raw sugar and ready sugar imports increased by 35.3%, wheat - by 3.4 times, fresh fruit - by 60%, butter and dairy oils and pastes – by 3.3 times, tea – by 2.8 times, beef - by 58.6%, fresh vegetables – by 25.6%, and poultry meat – by 2.7 times.

“This gives grounds to say that the impact of inflation on price increases continues,” he said.

Ibadoglu stressed that again the non-oil sector of the national economy is not able to meet the need for only local products. In his opinion, statements about self-sufficiency for the above products, including official statistics on the growth of agricultural production, raise great doubts.

“I think that in March-April the price increase will accelerate. Observations and trends show that price increases will mainly manifest themselves in products and services,” he said. --71D