Spring Brings Lower Prices

Spring Brings Lower Prices

Spring Brings Lower Prices

The FINANCIAL -- The average cost of cooking one standard portion of Imeretian Khachapuri stood at 3.54 GEL in February 2019. This is 2.2% lower MoM (compared to January 2019), and 3.5% lower YoY (in comparison to February of 2018). The index having a downward trend at this time of the year is not unusual, and chiefly relates to the decreasing price of cheese (due to a higher supply of fresh milk).

The price of all khachapuri ingredients, except milk, declined this February (compared to January 2019): cheese went down by 3.4%, flour by 1.0%, eggs 7.4%, yeast 3.2%, and butter decreased by 1.0%. However, the price of milk shifted up slightly by 0.3%. The results from our data are in line with the Georgian dairy figures, although for February 2019, they report an increase of milk prices by 0.9%, compared to the previous month.

It is expected that the price of milk will slowly reduce, and this decreasing trend may continue for several months, as the fasting period will begin on 11 March, therefore the demand for milk (milk products) and eggs will be lower. Furthermore, the supply of fresh milk will increase in the spring, and this is likely to push prices even further down.