We consume the MOST EXPENSIVE food in the last 10 years
The corona crisis has completely changed the psychology of the market, which has led to the biggest rise in food prices in the last ten years, according to agricultural-economic analyst Zarko Galetin.
“We had one stable year in terms of product balance, but what happened is that this and last year were years of high prices, and there were no essential reasons for the price to be so high,” Galetin told RTS TV.
The FAO index is 127 index points, the highest since 2011.
Looking at the essential market drivers, there were not so many reasons for the high price, he believes.
The reason is also the covid crisis, the uncertainty brought by the health crisis, especially among big importers who are afraid that they will not have enough food, and that demand was aggressive for psychological reasons.”
That led to market nervousness and now we consume the most expensive food in the last 10 years, Galetin concluded.
Galetin says that this year will be good as far as wheat is concerned and that the yield will satisfy domestic needs, while barley is better than last year because the weather conditions were favorable during the entire vegetation period.