15.12.2010 13:18

Weak producer price rise, currency stability curbed inflation in November

MIGnews.com

Producer price slowdown in the food industry due to increased production, further reduction of consumer lending, higher deposit activity and stability in the foreign exchange market were the factors cracking down on inflation in November. This is stated in the commentary of the Ministry of Economic Development and Trade, posted on the ministry's website.

According to a report, the food market for the second consecutive month has seen the tendency for a reduction of prices of fruit by 2.6% (in October - 4.5%), vegetables - by 1.4% (1.3%), eggs - by 4.4% (0.8%), and lower prices for meat and meat products - by 0.7% (including pork and poultry by 2.2% and 1.8% respectively).

In November, grain prices continued to grow due to rise in price of wheat and flour after the reaction of the domestic market to increased grain prices worldwide. However, the growth was slower than in previous months (by 0.8% in November, 1% - in October and 1.6% - in September).

The prices for dairy products were rising as a result of higher cost of feed with increasing demand on it: milk for a month rose in price by 3.6% (in October - 4.7%), cheese - 2.4% (5.8%), butter - 1.7% (5.3%), sunflower oil - 2.2% (1.8%).

As UKRINFORM reported, the November 2010 inflation in Ukraine compared to October was 0.3%, from the beginning of the year (to December 2009) - 8.2%. Compared with November 2009, the inflation rate is 9.2%, and as compared with January-November 2009 - 9.4%.

Experts call "surprisingly low" the average rate of inflation in November after October, considering that in 2009 the corresponding figure was 1.1%, in 2008 - 1.5%, in 2007 - 2.2%, in 2006 - 1.8%.

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