What will happen to bread: in Ukraine, the price of wheat flour has risen by UAH 2,000 per ton

Published 2024년 7월 4일

Tridge summary

Since June, Ukraine has experienced a significant increase in wheat flour prices, with costs rising by over UAH 2,000/ton in just one month. This price hike is primarily due to a limited supply of flour, caused by producer restraint and maintenance-related shutdowns of processing enterprises. The high price trend is also influenced by challenges in sourcing high-quality raw materials, leading to a predicted 30% increase in bread prices by the President of the 'All-Ukrainian Association of Bakers', Yury Duchenko. Additionally, flour millers are struggling to find grain for milling, and there are concerns about payment crises for bakery products already delivered to trade and the armed forces. Furthermore, a potential new state tax on Ukrainian grain trade in Poland could exacerbate the situation.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Since the beginning of June, Ukraine has maintained upward price dynamics on the wheat flour market, and only in the first month of summer, prices increased by more than UAH 2,000/ton. This was reported by IA "APK-Inform". Since the beginning of June, prices for high-grade flour have increased by 2,000-2,500 UAH/t, and as of July 2, they are fixed mostly within the range of 12,500-14,200 UAH/t. According to analysts, price support continues to be provided by the insufficiently active supply of flour due to the restraint of sales by producers and the reduction of market offers due to the shutdown of most processing enterprises for preventive maintenance before the start of the new season. Further price growth was influenced by difficulties in purchasing high-quality raw materials for processing due to the limited number of offers on the market. President of the "All-Ukrainian Association of Bakers" Yury Duchenko predicted a 30% increase in the price of bread in the coming months. ...

Source: Agropolit