Garlic prices increased by 41% over the year

Published 2024년 7월 25일

Tridge summary

Garlic prices in Russia have surged by 20-30% compared to last season, with a 41% increase over the year, driven by low domestic yields, local drought, and a market heavily reliant on Chinese imports. Despite a 16.2% rise in the gross garlic harvest last year, the commodity sector experienced a notable decline. Experts believe higher prices could encourage more domestic production, but challenges like high production costs and labor intensity persist. The National Union of Garlic Growers and industry leaders are advocating for government support and retail chain involvement to reduce dependency on Chinese imports and bolster local producers.

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

Original content

According to the National Union of Garlic Growers, cited by the Parliamentary Newspaper, garlic, as well as garlic sauces, pastes and other products, have risen in price by an average of 20-30% compared to last season. According to Rosstat, garlic price increased by 41% over the year: if in June 2023 it cost an average of 260.87 rubles/kg, then this year it cost 367.04 rubles/kg. In May it was even more expensive - 375.2 rubles/kg. Among the reasons for the rise in prices, the union names low garlic yields in Russia, local drought, as well as the monopoly of Chinese companies on the market: the domestic garlic market is 80% dependent on imports. In addition to China, garlic is supplied from Iran, Egypt and Uzbekistan. Last year, the gross garlic harvest on all farms amounted to 172.1 thousand tons - 16.2% more than in 2022, according to Rosstat data. However, in the commodity sector - in agricultural organizations and peasant farms - they grew a total of only 5.2 thousand tons. ...

Source: AgroInvestor