Prices of basic goods like groceries may increase by up to 15% due to frequent blackouts, which are causing an increase in the costs faced by food producers, Forbes Ukraine reported on June 20.
Russia renewed a campaign of strikes on Ukraine's power grid in recent months, causing issues with energy supply across the country.
Ukraine began implementing rolling blackouts on May 15 and Ukrainians will face lengthy, daily interruptions in electricity until the end of July due to scheduled repairs at nuclear power plants.
While many companies are relying on generators to keep functioning during power cuts, the cost of electricity from a generator can be three times more expensive than the normal supply, Forbes Ukraine reported.
Milk production requires energy-intensive processes like refrigeration. According to Forbes Ukraine, this reliance on generators could mean an increase in the price of milk by up to 30% by the fall.
The cost of bread has risen not only due to issues with the energy supply, but also an increase in the cost of grain and a shortage of workers, Forbes Ukraine said.
The head of one bread factory told the outlet that bread may become 20% more expensive in the coming months.
"The price of canned fish, sunflower oil, and mayonnaise in the largest Ukrainian grocery chain, ATB, will increase by 5-15%" over the coming month, Forbes Ukraine said, citing ATB's press service.
According to the supermarket, power outages are one of the main reasons for the rise in prices, along with the devaluation of the hryvnia and the rising cost of logistics.
Elsa Court
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