Lukashenko demanded detailed calculation of prices in cases of their growth from Government
At today’s meeting on pricing issues, the President – while anticipating a substantive conversation – turned to the information prepared by specialists. In particular, Aleksandr Lukashenko noted that price regulation made it possible to restrain inflationary processes.
“Inflation, as I have already said, was more than 12 percent, and the peak value was registered in September: about 15 percent. The adoption of new price regulation measures has contributed to a decrease in the growth rate of consumer prices since October 2022. In Q4 2022, deflation made almost two percent,” the Head of State addressed those present.
According to analytical materials, consumer prices for regulated goods decreased by almost three percent in December 2022 compared to September (before the introduction of measures). In three months, food prices fell by 0.5 percent, and prices for the regulated products became almost one percent lower. As regard the non-food group, a decrease of more than four percent was registered. The Head of State drew attention to the point dealing with the reduction in prices for imported goods: vegetable oil (except olive oil), pasta, semolina, rice, millet, oat flakes, wheat flour, household electrical goods, wallpaper and TV sets became cheaper.
“However, the measures taken by the Government to regulate pricing have not become systematic solutions to prevent unjustified price increases in the consumer market, to reduce the cost of production, and to fully satisfy the domestic market demand,” the President commented.
Aleksandr Lukashenko suggested, “Well, probably, the experts have set a high bar. No system solutions could be achieved in four months. I have already said: it is a living organism, and not everything depends on us. Moreover, if there are any mistakes or miscalculations, then the system needs further adjustment.”
In December 2022, prices for certain everyday food also grew – against September figures. Among them were cottage cheese, bananas, hard cheese, kefir, pork, beef, and baby food. The largest growth in Q4 was registered for fruits and vegetables. The tendency continues in 2023.
With this in view, the Head of State noted, “Clearly, we support agriculture – through subsidies, and so on. However, there is a question: if, for example, onions and carrots have risen in price by nine percent this year, then how this move can be explained? This means Snopkov [Nikolai Snopkov, First Deputy Prime Minister] and Golovchenko [Roman Golovchenko, Prime Minister] should calculate everything. I believe Snopkov knows how to calculate at the level of microeconomics, despite the fact that their main economy is ‘at the top’ – which is macroeconomics. Actually, it is easier to calculate at the ‘micro’ level; everything is counted there. Look at the accounting. What is the profitability there? Ask about the cost price. After all, the main component of profitability (except profit) is the cost. If cucumbers have risen in price by seven percent, and their profitability is just 1.5 or 5 percent… Well, a manufacturer should have profitability, it is inevitable. At the same time, the question arises: why is profitability so low? Is it because prices are low, or is it due to the cost price? Have you studied that? I need a report on the issue. I calculated that in times when I worked as a director. Therefore, you will not succeed here.”
