RANEPA economists urged to remove beef from the list of socially important products

Perhaps the time has come to radically revise the list of socially significant food products that the state has taken under special protection. And on which it has the right to limit prices. This is the conclusion reached by the authors of a study conducted by the RANEPA Center for Agro-Food Policy. In particular, they offer to remove something from this “basket”. For example, beef – it is not for a mere mortal.

Or uncut frozen fish – due to its lack of demand. And something, on the contrary, – to add: say, minced meat. What promise these changes to the ordinary consumer?

“I always buy whole frozen fish,” says the lady in the fish department. – It is more environmentally friendly and cheaper. On TV, how many times they showed how it is butchered: some kind of dirty tanks, underground workshops … And if the fish is immediately frozen at the place of catch, all food qualities are preserved in it.

– I never buy minced meat, – another customer admits. – Everything flows out of it, and it is not known what was put there – maybe some skins. When my minced meat is from a whole piece of meat, I am absolutely sure of it.

A number of experts propose to radically revise the list of socially significant products, the prices of which are “protected by the state.” As you know, in 2010, 24 species were included in the list – including beef, pork, lamb and chicken, frozen whole fish, butter (butter and vegetable), milk, eggs, bread, some cereals, vegetables and apples.

This is the same food that we go to the store every day. At the very least, no one goes hungry in Russia. And perhaps this is the main effect of protecting our consumer rights.

However, the RANEPA study shows that limiting the prices of these products has mainly a “psychological effect”. All these products are still going up in price, as anyone who goes to stores is probably aware of.

Rosstat reports also tell us about this. A vivid example is bread, the price of which the state monitors very carefully. But in vain! For the year since November 2021, it has risen in price by an average of 14.25%.

Almost all “protected” products showed similar dynamics. Cereals increased in price by 14%, meat and poultry by 12%, fish and seafood by 15%: (whole ice cream by 8%), milk by 17%, butter by 18%…

In general, it cannot be said that our retail trade is struggling so hard with rising prices – even under the threat of some kind of checks from the FAS and other authorized bodies.

It involuntarily begs the assumption that trade raises prices on two fronts at once: for products that are socially significant for the population, and for delicatessen goods.

And that’s why. There are too many “ifs” in the law. If prices (by law) for a certain product have increased by more than 10% for 60 consecutive days, then the state sets a maximum retail price for this product for a period of 90 days. How is it controlled? Some mysterious gendarme or commission must come every day and see if the price is holding for two months or not? And if for three days it takes and decreases – start a new countdown?

Maybe just fix prices for these very socially important products? And let the rest go free. Whoever has the opportunity, let him buy boneless meat or red fish.

– If you notice, these 24 categories cover the main part of all products, – says Petr Shelishch, chairman of the Consumers Union of Russia. – There are no cakes or boiled pork, only everything you need …

– So can we freeze prices for these categories, without any market?

– We will have to oblige manufacturers to supply products at fixed prices. They will say: it is unprofitable for us. But it is necessary to oblige along the entire chain, from “a” to “z”. Starting, say, from a field, a farm, and ending with a dairy. This includes the cost of fuel and lubricants, and electricity. And in order to “build” everyone, it will be necessary to nationalize enterprises. We’ve already been through this.

In the USSR, beef cost 2 rubles a kilogram. But she was only in Moscow and Leningrad. And the manufacturer cost 5 rubles, the state subsidized him from the budget.

If you want to return to those times, please fix it. Only tomorrow there will be no products on the shelves.

– But even with the market freemen, nothing good happens: food prices begin to go off scale …

– To help the poor, those who cannot pay for food, food cards should be subsidized, not the food itself. This has been discussed in Russia for a long time, but the authorities have not yet taken such a step.

Although this does not solve the problem of food availability for the poorest, whose incomes do not allow spending more than 4-5 thousand rubles per person per month. Meat, fish, milk and vegetables they buy half as much as the wealthiest part of the population, fruits – three times less. They buy the cheapest meat: chicken or pork. Preferring them to fish and fruits. For these people, socially significant products are not by name, but by price – those that are the cheapest. It is for them that the authorities should monitor and retail chains should be oriented towards this.

– But cost limits are not a market step either …

– Our government does not abuse this right. The experience of “freezing” the prices of sugar and sunflower oil at the end of 2020 showed the inefficiency of this method. But the authorities are obliged to use it as a measure to protect the population.