Food prices in Ukraine catch up with the EU: where they are already more expensive and where cheaper

Ukrainian food prices are quickly approaching the average European level, sometimes exceeding prices in individual EU countries. The 'Inflation Report' of the National Bank of Ukraine indicates that since 2016, the cost of food in our country has increased by 79%, which is higher than the average level in the European Union.

Factors affecting prices include the war, climate crises, economic shocks, and the pandemic. Nutrition for Ukrainian households is especially important, and while some products are cheaper than in the EU, others, such as dairy products and meat, are already more expensive.

The NBU emphasizes that the free trade agreement with the EU contributes to the convergence of prices between Ukraine and the EU.

Factors influencing prices

The price increase is determined by the weak development of certain sectors of the Ukrainian economy, the high VAT on food compared to the EU, and a large volume of imports. According to the NBU, imports help control domestic inflation.

This news reveals the trend of food prices in Ukraine converging with those in the European Union. The mentioned factors influencing prices indicate the complex economic processes in the country, which are observed through a number of various reasons, including large volumes of imports and the agreement with the EU.