Tashkent, Uzbekistan (UzDaily.com) -- During a meeting on economic issues, President Vladimir Putin noted that sunflower oil rose in price by 23.8%, flour by 12.9%, pasta by 10.5%, and bread and bakery products - by 6.3%.

In addition, according to the head of the Russian Federation, sugar rose in price by more than 71%. According to the Izvestia newspaper, since the beginning of 2020, food prices have increased by 14% overall.

Vladimir Putin linked this problem with an attempt to adjust domestic prices to world prices, and also demanded that the government promptly respond to the situation.

In this regard, the Russian government is taking the following measures to stabilize the situation with prices in the food market.

First, in order to prevent an increase in prices for sunflower and rapeseed seeds, the government increased export duties on these products to 30% from 9 January to 30 June 2021.

Second, on 18 December, it is planned to sign agreements with retail chains with sugar and sunflower oil producers. They provide for: 1) lower prices by producers when supplying food to retail chains; 2) price limitation by retail chains.

Third, it is planned to establish regulated prices for socially important goods for up to 90 days. It is proposed to lower the price fluctuation bar from 30% to 10%. Thus, for the period from 1 January to 1 April 2021, purchase and retail prices for sugar and butter can be fixed

Fourth, the producers of sugar, bread and flour processors will be provided with state support - soft loans at a rate of 1% to 5% for the purchase of sugar beets for processing. The sowing area of sugar beet will be increased next year.

In general, experts emphasize that fixing prices at a level that is not beneficial to producers is risky. In this case, they can suspend the supply of goods to retail chains. Sugar and sunflower oil deficiencies can be a real problem. In their opinion, the state needs to: a) “not squeeze” producers; b) control overpricing by entrepreneurs for their products in an attempt to compensate for future possible losses.